Squid is a functional ship, although it takes more effort to get things working right. We managed to pull one off in the last SCS, although it was extremely sloppy. I've been out of practice for a while, didn't bring the right tools, didn't have the time to get the ship or crew set up right. Took us a while to become even moderately effective in that match. Under different conditions we can get the squid working even better.
Depending on how it's built, it makes a good distraction ship that can severely punish ships if and when they start ignoring it. Generally nimble enough to avoid being killed easily as well. Phoenix claw on other ships doesn't really negate it's effectiveness either. As a squid pilot, one of your biggest strengths is having an easily accessible forward and rear facing gun. So instead of strafing around a ship, just pass under or over them and use the tail gun. If they try to repeat the process, do it again in reverse. Once a squid gets in close, it can be extremely hard to get them off of you. (Some ships have an easier time of course, like the junker)