Kovax, I do not disagree with your post, but I do wish to emphasize three things:
1) When I say "early life of HOI3", I mean up through... roughly some point around SF expansion's release, but definitely well before FtM. Yes, I do remember v1.0 myself, and the total absurdity of some things.
2) While the "just because you can" argument holds merit, I, as part of my "base" National China strategy, declare war on Haiti/Turkey, almost every time, just to "hold onto the good laws". The AI was just doing what the min-maxing player already did themselves; the AI doing things the players did is the epitome of fair, and forbidding them from doing things without blocking the player from doing the same, in my opinion, is even worse then when they DO do them.
3) I wasn't specifically saying that I agreed with the "general response" to the diplomatic system; in fact, I specifically agree that having that be a "checkbox option" where the AIs have player-level diplomatic freedom vs being forced history is a great idea. I was just pointing out the response in the official forums, other forums, chat rooms, et. al. that I experienced early in HOI3's life; that if it so much as had the GALL to not force the AI players into historical decisions, they would flat out refuse to buy the game/demand a refund.
Phantomrider:
I disagree with your second paragraph at a fundamental level; if the other countries proceed "as normal" while you do totally different things, and they don't get to react until it is too late, that's not seeing if you can do things differently, that's forcing the hand of bad AI.
For example, a common argument I hear is that if Germany hadn't "wasted it's effort" on surface aships and instead tripled it's Sub usage with those resources, then they would have won the war before the US could save Britain.
The thing is, the US and britain weren't sitting around waiting for Germany to attack. UK's entire naval strategy involved hemming in the German surface fleet (along with protecting it's interests in the far east, though we know how that went). If Germany didn't HAVE a surface fleet, and if the UK (and USA) had seen Germany dismantling large ports and building tons of sub pens in the pre-war years, they would have slashed their capital ships budget, and redirected HEAVILY into anti-sub tech and tactics.
But "forcing historical" stops the UK/USA from doing that; and I'm sure I don't need to tell you, in the game as it is right now, If a GER player DOES go full-bore into subs, he very much can destroy the Allies (sans USA) with ease.
that doesn't show you can have done better than history, it shows that you can abuse someone with a forced handicap.