A cease and desist doesn't mean you have to stop doing everything it says. It only means you should comply with the law.
You don't want to spend time and money to fight with a $350B company.
If that's your logic they can make you do anything they like. They can ask you for $100m "because I said so" and you'll comply to avoid spending $200m on lawyers.
Usually it doesn't take $200m to prove that "because I said so" isn't a valid claim of damages.
But otherwise, you've got the math right. Settling is typically advised when the cost to litigate is expected to be more than the cost to settle.
Yeah. That'd exactly how it works. It's why having strong anti-SLAPP laws is critical.