My read on the spin:
The damage is done. There have likely been millions of kids exposed to hardcore pornography by reading Wikipedia. This has been going on for years.
The site does not have any system built-in to prevent this. The fact that the founder had to personally intervene shows a gigantic organizational failure.
Mr. Wales' attempt at spin here might have worked well in the early days, but we're coming up on ten years now of Wikipedia. It is what it is, not a work in progress anymore. It's a porn repository that allows free access to children. It takes advantage of tax-exempt status and donations from big corporations too.