They say "competitive" to differentiate their two multiplayers modes. There's cooperative multiplayer (strikes, raids, story missions) and then there's multiplayer where you're competing against other players, thus making it competitive mp. It's not supposed to be some MLG-style mode like a game such as COD would have. The word competitive is only used to explain that in that mode, you will be fighting against other players, instead of with them.
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True. That's what I always say when this topic comes up.