I think he (she?) is trying to explain zen in a confident manner which makes it sound silly (it is!) and a bit off.
(I almost think I could make a board game from the above.)
Of course the word "alive" is ambiguously defined semantics applying to a loose hodgepodge of phenomenon (is a virus alive?). It may be convenient to use, just like the term "sunrise" is useful. But looking for the real phenomenon behind it is like looking for the caloric fluid or the land north of the north pole, they are words for ideas invented long before we knew much about anything.
Your notion too might be useful, that everything is part of a single grouping like the observable universe. But I think we'd be in error to suppose there is something real to either of these groupings beyond being useful names.