First, you cut out the initial part of the sentence about improving on Strassen's two-level algorithm. Here is the complete sentence:
> Particularly relevant is the case of 4 × 4 matrices in a finite field, where AlphaTensor’s algorithm improves on Strassen’s two-level algorithm for the first time, to our knowledge, since its discovery 50 years ago.
That is, note that the improvement cited in the latter part of the sentence is for the 4 x 4 matrix case.
But then your next quote is not in reference to 4 x 4 matrices. That is, for larger matrix sizes, the best algorithm AlphaTensor discovered had the same theoretical complexity as Strassen-square, but better performance.
EDIT: my next comments are confused and best ignored. See reply from pxx below.
For the 4 x 4 matrix case, the theoretical complexity of AlphaTensor's algorithm was O(N^2.778) compared with the Strassen algorithm's complexity of O(N^2.8074), which is an improvement.