Ya, it is possible that the future of intelligence is both transcendence and expansion. I don't see a reason why both can't be possible pathways. However, I think I'm increasingly convinced by transcension hypotheses. What convinces me the most is that it so easily explains Fermi's Paradox, it is consistent with the universes developmental trend towards increased localization, and we see empirical evidence today that we are starting to transition our lives to a digital substrate. I suppose one can find good evidence for the beginnings of expansion as well though. In Her they "moved past matter." And I don't think we know enough about the fabric of reality to say with certainty what's possible with sufficiently advanced technology.The untranscended could have expanded over a good chunk of the galaxy, forming maybe a Kardashev 2.3, 2.4 or even 2.5 civilization.
in ordinary matter to do that