I may be the only one having a problem with the AI's ability to "teleport" troops if you set their morale >=110 and, if so, please disregard.
I do agree with the intent behind it, which is to provide more of a challenge when playing against the AI since it isn't and can't be on the level with a human player, and who really wants to play a game where you can just walk all over the AI every single game? I don't, that's for sure.
I do, however, believe that the blanket implementation of the rule introduces a number of effects that surely can't be intended.
So how to modify it without making the AI a walkover?
Easy version is to make it a game rule. As in a checkbox. You can set the AI morale modifier to whatever you want and then decide if it gets the "teleport" rule or not. Not ideal, but an idea.
Second version, and I don't know if that's even possible with the coding, I'm as dumb as a stump when it comes to that and I'll be the first to admit that I don't know what's going on "under the hood" with the AI script, so this is just off the top of my head and might very well be stupid:
Limit what the AI can do when it "teleports" troops. If they started their turn where they could move normally, no changes from the game rules, just as it is for a human player. If they, however, used the "teleport" rule, they would be unable to move into enemy controlled hexes. They could still "warp" to a better position in order to establish a better defensive line, but they WOULDN'T be able to Star Trek an entire army to a threatened sector and then move, without penalty, to counterattack, for instance.
This would maintain the AI's ability to rearrange its line without leading to situations as it is now where it really doesn't matter if you cut off, say, rail supply to a sector since the AI can move an entire front from Astrakhan to Leningrad without using a single train. They can just walk the 1,000 miles and then attack.
I want the AI to challenge me, but I'm not a big fan of leaving a huge part of the game out as it is now, meaning that, say, supply lines and rails only being important to the human player.