Telepathic works great against the AI because they have relatively weak race picks. Most are feudal or dictatorship so that's going to slow them down a lot. They do a poor job of designing ships and aren't good at tactical combat. Telepathic in multiplayer is typically suicide. Your opponent will just out colonize, out grow, out tech and ultimately beat you. About the only way it works is with a blitzing race pick where you don't need much tech or growth. Rebellions can work in your favor because the planet is easy to retake. Each time you retake the colony you have another chance at gaining another tech.