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If $P$ and $P'$ are products of $A$ and $B$ there may be multiple isomorphisms between them, for instance if $A$ or $B$ have any nontrivial automorphisms.
My impression is not that allegories were made famous by "Categories, Allegories", but rather that this is the first published account of allegories. I cannot find anything to suggest otherwise in the literature.
Jason Brown has described the free cocompletion of a 2-category under (op)lax colimits of 2-functors in his PhD thesis. I shall add a link when the thesis becomes available.
(There is another distinction, which is that Freyd and Street's characterisation is relevant to the 2-category of large categories, whereas Di Liberti–Loregian's is relevant to the 2-category of locally small categories.)
@TimCampion: it is not clear that Freyd and Street's characterisation holds for any example other than ordinary categories (see this question, for instance). On the other hand, if Di Liberti–Loregian's definition captures smallness, I would expect it to immediately generalise to enriched and internal categories.