Historically, people stop being allies with "that kind of alliance" because, along with being in-game cheats, they are RL snakes who ultimately turn on their erstwhile friends.
(And yes, this is me kind of saying 'I told you [NG] so.....years ago'.)
Twenty-five years ago I ran a NUTS talker. (If you know what that is, kudos. You're old.) What I learned from being admin there was that people, whatever their online persona, eventually turn into themselves. The dickstain pretending to be a nice guy eventually reveals himself to be a complete dickstain. The unbearably nice person who wants to be seen as tough and mean can't help being unbearably nice.
Some of this game's most heralded players were (and are) incredibly !@#$%* people. Actual, RL frauds who cheated both here and in their offline lives.
Now they (or at least the ones who haven't died, whether literally or figuratively) and their pals stand atop their pile of lies and declare themselves the winners of something they've actively worked to destroy.
(Think of the Warner Bros. cartoon where Daffy tells Marvin, "This planet ain't big enough for the two of us. So....off you go!" And then he pushes him off the tiny rock that used to be a planet. That is the current state of CN.)
The only logical conclusion to be reached is that these people must be the only ones left who are financially supporting the game. They get away with it because the business model means that 'the winners' are the sole source of steady revenue.
(Think of what happened in another online game when its admin tried to deal with rampant cheating.)
And so the game is irrelevant. What matters is the income relative to expenses. As long as the same group continues to pay, nation count doesn't matter. In fact, a lower nation count means less bandwidth and other associated costs and, therefore, greater profit at the margins.
It's actually not a bad business model, I guess. Enable cheaters, take their money, and ignore everything else. Finally, the only ones left are the cheaters, their sycophants, and those who are unaware.
The only funny part in this is that, as Jerdge pointed out, every now and then the frauds pop out of their holes to commend themselves on being winners, unaware that they're being used themselves.
Big wheel keeps on turnin'....