If the choice is a $50 Kid's purpose built camera or a smartphone, the smartphone is the clear winner. Nobody was suggesting an old smartphone over an $800+ Fuji.
You have to have used a kid's point & shoot to understand how terrible they truly are. My kids had one which couldn't even disable the flash entirely. The sensor is a cheap 1 MP out of a webcam. The modes are three: Photo, Video, and Review. There is no manual controls, no photographic tools, maybe MAYBE you might get some fun filters.