I agree with this but I would add a 3rd option because I am not sure how much SoS have explored this. Maybe you have, I dont know but would welcome your input. When you say take the players we have and make them the best I think you are referring to your core WvW guilds. You have a large possibly untapped population of folks on your server who maybe don't do much WvW currently unless you are winning but a large margin. Believe me, all servers experience that and we have struggled with it as well. Getting some of those folks out there and involved can help alot. Insisting they have to join the core of WvW guilds you have can actually be counter productive to that goal.
Some steps that could help alot are:
1. a communtiy voip server - JQ's works but its not perfect by any means but it does provide access for the smaller guilds to interact and get to know the other guilds and folks
2. focus on your community more and not on your main WvW guilds. Maybe you already do this, I don't know but from readin the forums I don't really get that impression. I see so many comments from folks on your server that suggest an elitist attitude focussed around the main WvW guilds. Bury that attitude if you can and be more inclusive.
Anyway, just some ramblings, I might be way off base here and if so I apologise but if you are interested in talking further send me a PM as I am interested in helping if I can.
Actually we were referring more to the small guilds rather than the big. The big guilds are very good, and they do great work, but sometimes the smaller guilds get overlooked. That is where we retake number 1!
Well thanks for making class go by faster, see you all on the field!