From Sigon:
How do you plan to balance the player influence over different factions? Would it be acceptable for Frontier if by player choice one of the major factions (Alliance/Empire/Federation) is wiped out?
We will look at balance continuously, both during the beta and afterwards, but we want players to be changing the Galaxy.
It's possible a Major Faction gets brought down, but is very unlikely.
There’s already a player group trying to destroy the Alliance, for example.