Heres the AI cheats for skirmish. They apply to both allies and enemies:

DifficultyHandicaps = {
        # Easy
        {
            GoldMultiplier = 0.75,
            ExpMultiplier = 0.75,
            StartingGold = 0.5,
            MinPoints = 0,      #the range of points the AI can spend on an achievement item
            MaxPoints = 150,
        },

        # Normal
        {
            MinPoints = 150,
            MaxPoints = 300,
        },

        # Hard
        {
            GoldMultiplier = 1.5,
            ExpMultiplier = 1.5,
            StartingGold = 2.0,
            MinPoints = 300,
            MaxPoints = 450,
        },

        # Nightmare
        {
            GoldMultiplier = 2.0,
            ExpMultiplier = 2.0,
            StartingGold = 4.0,
            MinPoints = 450,
            MaxPoints = 10000,
        },
    },

For tournaments the following additional multipliers apply to your allies only:

   # Player & ally experience multiplier for tournament difficulty levels
    SPExperienceMult = {
        1,      # Nightmare
        1,      # Hard
        1.5,    # Normal
        2,      # Easy
    },

    # Player & ally gold multiplier for tournament difficulty levels
    SPGoldMult = {
        1,      # Nightmare
        1,      # Hard
        1.5,    # Normal
        2,      # Easy
    },

Table of your allies vs enemies in tournament mode:

    #   On Easy -> Player team mates are nightmare; Enemy are easy
    #   On Normal -> Player team mates are hard; Enemy are normal
    #   On Hard -> Player team mates are normal; Enemy are hard
    #   On Nightmare -> Player team mates are normal; Enemy are nightmare

Other changes:

Also in a tournament the Normal and Easy AI have their plan depth restricted which seems to make them more stupid. Also the Easy AI has a couple of AI sensors disabled in tournament mode, these are the 'Near Enemy Defense' and 'Demigod injured' sensors that make the AI run away.

Personally I dont mind if the AI cheats although it this case there is some complaint about the normal AI for allies in tournament mode when playing on hard.

In which file you got this from?

Its in the dgdata.zip under the lua folder. Game.lua contains most of it... but some specficis are in several AI files.

Thanks for the info. Quite enlightening. I really hope they implement a disable cheats/handicaps toggle so we can play a pure difficulty level, against only superior tactics & teamwork rather than superior numbers. It`d be a great option.

There is on normal tournament level. You get Hard AI allies.

Me and my friend played against Hard AI on exile yesterday and they became almost invincible at level 20. It felt like they had a bonus on top of their super artifact gear they could have gotten with gold bonuses. At one point me (as regulus) and my friend (as beast) stood near our chrystal and kept pounding one enemy regulus. He regenerated faster than we could kill him and just refused to die. We manage to kill their Rook sometimes but not that Regulus who is supposed to be squishy.

Anyway, since we played on exile and couldnt capture their portals, we decided to just destroy their citadel by ourselves. It went down in 10-15 seconds by the beasts hand as I killed their creeps next to him.

I wished I had taken a screenshot because we both dealt over 1 million damage during that game.

and they ALWAYS have the boots speed buff. I swear one game the computer never had it off. They were always the speed boost fast.