Okay, I seem to fixed my issue, this faction still likes to come out strong with a lot of musket ships but before long I started seeing the diversity I intended. I'm still watching them develop in my current conquest to ensure they build advanced correctly facing buildings and everything else. There really wasn't a lot of info available for how to make AI Fleets correctly. But I'm getting it figured out the hard way.

Thanks, but I've having issues, I'm gonna reinstall my game. No faction is going into tech above muskets, so I cant tell if my factions are screwy or its the game itself. I'll post an update when it begins behaving correctly.

good job