They mean the name that has been used for the region for much of human history.

How is that relevant?

Yes, the name Palestine is derived from the Philistines who used to inhabit the area 3500 years ago. The region has been urbanized for 7-9k years and inhabited by many different groups. Jews, Greeks, Romans, Muslims, and I’m sure there’s more. It has an exceedingly complex history.

And the name _Israel_ is derived from another Bronze Age tribe, from which Zionists draw the legitimacy of their project. Rather a fatuous question.