I think they mean breaking free from Google Analytics, Google Play Services, Google Play, Google Location Services, etc. Play Services and Play are not installed on GrapheneOS by default, so it is possible to run your phone with just GrapheneOS with your choice of open/closed source apps on top.

I think breaking away from open source Google code is not really meaningful. It's kinda like saying "I don't want to run Linux because it contains code from IBM/Google/Meta". AOSP is a great and useful project. If the day that Google stops releasing AOSP ever comes, a consortium of interested organizations can fork it. But it does not make a whole lot of sense to start a new mobile ecosystem completely from scratch, if one that is great and open source already exists and buys you compatibility with millions of apps.

It was first "break free from Android", but somebody complained so they changed it. Titles are hard, I guess :-).