If you look at the court filings, the only part where they were "caught red handed" was that they knew they were recording audio for inadvertent activations, but didn't take steps to stop it. There's remotely close to proving that they were using it for advertising.

I was the one caught red handed fwiw.

A lawsuit settlement does not indicate any kind of guilt. It is purely a cost/benefit calculation falling on the “make it go away” side.