Its a correct S&W upper for the weapon. Aside from many reasons, if it had not been the correct upper for the weapon there would have been no offer from S&W for a reduced price on a new weapon.
The damage, well thats debatable it seems to some. To me its clear just based upon the pictures alone, but I will not go into it deeply as I don't have the time. I've seen the same thing happen with other AR platforms we have tested with 'fire to destuction' with over pressured ammo.
The focused point of damaged indicates explosive over pressure and not defect in manufacturing or materials. There are telling indications in the pictures where an over pressure explosion force breeched the material integrity causing it to fail. The main part of the explosion force exited the weapon towards the bottom of the bolt in its longitudinal lower right quadrant area away from the operator. The pictures show the source originated from the inside and moved outward, that is not consistent with material or manufacturing defect, it is consistent with an explosive source.
I can tell you exactly what happened, seen it a hundred times; The over pressure explosion occured, the main force first contact was directed into the bolt/BCG along its longitudinal axis. The BCG splits along the longitudinal axis, the pressure of this split driven by the explosion taking the path of least resistance towards the ejection port area bends the front of the BCG out contacting the material at the front ejection port area placing sudden impact pressure at that area. The position of the split part of the BCG is now outward with the expanding explosion behind it but this part of the BCG partially traps the explosion force and re-directs it towards the material at the front ejection port where the explosion force now forces the metal outward above and below the edges of the BCG split. This material has already been weakened by the BCG split portion slamming into and placing pressure upon it. The metal gives way as the explosion pressure also hits it, with the combined forces the metal breaks and splits away from the main body. All this is consistent with a sudden explosive over pressure situation. I agree with the S&W assessment.
Doesn't matter much now as to what happened that caused this in the first place, its done. Its been over 60 days since the Op posted this experience, and I'm assuming that he has already resolved the situation with S&W.