Nah, the battle isn't worth doing on Guerrilla Warfare for Suge, there isn't anything at stake. The hype has been built over the course of 2-3 with them going back and forth on the URL stage, the battle needs to happen on URL for it to truly matter.
Suge was in a position to put Hitman's battling career on hold if they did it on Smack. 2 good rounds beats 1 good round, it's simple math. Nyggas is saying Suge had a bodybag 3rd vs T-Top, Holla wants no parts of that. Surf had Holla looking very mediocre in the 3rd round of their battle. Holla's flaws have been exposed a couple times, I don't think he can handle another clear loss on Smack, especially since he's got the Wild N' Out thing going on. If Holla loses to Suge on Smack, he won't be taken seriously as a top tier battler anymore, and Suge jumps into everybody's top 5.
Let's also consider GW and Smack are kinda at odds now, if Suge backed out it might be because URL is about to give him a real big look.