It's their money. They can do what ever they want with it. I personally think that is a ridiculous gift for a one year old, but so what? It didn't come out of my pocket. They do donate money. Beyonce just gave all the money she got for performing for Ghadaffi(a whole other issue entirely) to charity. I'm so over the public trying to dictate what people do with their money. There is an article about Jessie J right now on DM and a lot of the comments are about how she is spending all this money and what not because she is in Singapore, not knowing that she is performing and all that is because she is there to perform and so what if she was on holiday? It's her money. Just like Jay-Z and Beyonce can buy whatever it is they want for their daughter.
It's easy to say that that is something you would never do if you did have the money because it isnt sitting in your pocket, but however you feel about it, it's theirs to spend however they want and they aren't asking for you, me, or anyone else to approve.