If intelligence is treated as a scale, should it be measured primarily by (a) the diversity of valid actions an entity can take combined with its ability to collect and process information about its environment and predict outcomes, or (b) only by its ability to collect and process information and predict outcomes?
In either case, the smallest unit of intelligence could be seen as a component of a two-field or particle interaction, where information is exchanged and an outcome is determined. Scaled up, these interactions generate emergent properties, and at each higher level of abstraction, new layers of intelligence appear that drive increasing complexity. Under such a view, a less intelligent system might still excel in a narrow domain, while a more intelligent system, effective across a broader range, might perform worse in that same narrow context.
Depending on the context of the conversation, I might go along with some cut-off on the scale, but I don't see why the scale isn't continuous. Maybe it has stacked s-curves though...
We just happen to exist at an interesting spot on the fractal that's currently the highest point we can see. So it makes sense we would start with our own intelligence as the idea of intelligence itself.