Anyone that seriously thinks III is better than V (even at this stage) is just romanticizing the past, in my opinion. Or maybe just saying it for effect (posteuring?).
I don't think so -
III was definitely designed more towards warfare than II - at least, that seemed to be the vision - but unlike V, it didn't sacrifice a lot of non-warfare aspects to make its vision happen... in fact, despite its ICS nerfs ---
III added these "builder" aspects over II:
- culture was a creation of III
- workers, rather than double-duty settlers
- "national wonders"
- Citizen specialists
V, on the other hand didn't even respect the builder aspects that IV left it with... It outright removed many, and nerfed others --
- Resources were made more generic/given less variety, as were yields
- the entire system of government was reduced to a pink tech tree
- wholesale non-tactical war aspects were excised entirely (religion, espionage)
I don't think it's at all unreasonable for someone who always thought warfare was just one among many aspects of Civ -- or even "first among equals" -- to say that III beats V.
III at least respected that Civilization was not a wargame, as I and II did before it, and IV certainly emphasized (in fact, I don't IV even considered military action "first among equals" anymore).
V, I think, is the first iteration that makes a definite decision to say "this is a wargame with more non-wargame aspects than your typical wargame".
If someone plays V/Civilization from that viewpoint -- I think it's entirely legitimate to say III beats V.