Nevermind guys... The AI does actually build structures, they are just really slow in the beginning.
I usually quit the matches with AI after 5 minutes due to lack of activity within their bases.
I tried waiting a bit longer and voila! structures were appearing on both sides.
My assumption was that AI start building immediately when the game starts but they were just kind of slow, maybe because I set them to easy.
Either way, the issue has been resolved.
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#Steam AliasWL%Streak
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