I dare say they wanted to leave the titles interpretation open, it means what you want it to mean
It's actually on topic as the OP references the intent behind the title of the game, thus debating the meaning/intent of the words would be fair game.
On the topic of "is it still possible to be allies with a 7-day guild lock in place" and I'd say yes, you just can't have 1 guild in an alliance fight all the battles for the whole alliance (it's only as strong as it's weakest guild). The issue TheMackemOne posted about a while ago:
seems to refer to demolition guilds (guilds that quickly wipe out all others in GvG while retaining no sectors themselves) where the result was unavoidable even if the 7-day lock was not in place. In fact that problem was spawned from a different change and the lack of fixing a loophole since GvG was released.