Although it hits 1,000W at peak, the continuous motor rating of 750W means it qualifies as a Class 1, 2, or 3 e-bike.
Through the e-bike lens, this is not "wrong" per se, but it is highly confused. Everybody talks this way becasue manufacturers advertise this way
It's misleading in your favor as far as power delivered. This is to get around regulations that are too stringent, especially in Europe. The truth is you're not looking at motor ratings when you talk about 1000W and 750W. This is about system power, what the controller will deliver. The term "peak power" here is very
specialized to the e-bike industry. Normally a motor manufacturer not trying an endrun around regulations that don't work will rate a motor as continuous and will be honest--this means the maximum sustained current the motor can handle without overheating. It is not a power output rating; mechanical watts, horsepower, and torque describe power output.
"Peak" power in e-bike terms can mean two different things. Peak torque means a very momentary increase in torque as the motor attempts to overcome a suddenly increased load. The motor will either overcome the load or stall. This only lasts for milliseconds. It does not mean additional power you can use for a few minutes to get up a hill. Peak power can also mean that the controller is simply delivering more current. When it means that, all the manufacturer is really saying is that their continuous "motor" rating was false, and not the maximum power the motor can handle without thermal meltdown for indefinite periods; or it caould also mean that you are destroying your motor's performance by weakening the magnets and if you do it long enough the windings will burn out too. That's fine for the manufacturer, they want you to need to buy another motor. If you can use "peak" 1000 watts for an extended time either the 750 continuous rating was false or you're damaging your motor at 1000 watts.
Outside the e-bike lens, peak refers to surge or inrush current at startup to overcome inertia. This can be drastically higher than continuous wattage. It can also be a reference to waveform, the highest point of the wave.
The industry plays games with the terms. But when it comes to the law, it will use standardized terms. You can calculate the maximum power your system can deliver. Multiply volts x amperage and you have continuous watts (or else the system was designed to fail) This is a hardline. 48 volts x 20 amps = 960 continuous watts. To find out actual horsepower at the shaft, multiply continuous watts x efficiency variable and that gets you mechanical watts. ~746 mechanical watts equals 1 h.p.
One of the most overpowered bikes available sold as an e-bike boasts 60 volts and 27 amps and is advertised at 2000 watts for two hub motors that "peak" at 5000 watts. If you do the math that system is capable of handling over 16,000 continuous watts, or else is designed for planned obsolesence. Most would scream that's illegal! that's not an e-bike; but for OPDMD pruposes it is perfectly legal and still an e-bike because the Americans With Disabilities act and other OPDMD laws never specify a ceiling for wattage power and specifically include "electric bicycles."
I hope this helps you understand.