3 year old children aren’t going to “learn the craft”.
I think the children camera is aimed at children above 3 years - the UI may need basic reading skills, beyond the images. Anyway for children watching parents using cameras getting one that looks like the "grown-up" ones, and really working, could be really welcome - and if the camera software is done well, it could really teach the basic craft.
The drawback, unlike for example the Instax, is the result is not printed out immediately - the camera has a print button, maybe Canon would like to sell its instant printer as well, ? - although that makes it cheaper to run.
Anyway, I see the Instax has an Hello Kitty version, thereby Canon is doomed!
Update: I just saw that today in Italy the most sold camera on Amazon is the 4000D. It looks a market for cheap low-end cameras does exist.... and I think not a small percentage of them was bought for young people.