diff --git a/next/kernel/delivery.erl b/next/kernel/delivery.erl
index ff16c6a8..f7480d68 100644
--- a/next/kernel/delivery.erl
+++ b/next/kernel/delivery.erl
@@ -45,13 +45,15 @@ envelope_field_list(Field, Activity) ->
         {ok, V} -> [V]
     end.
 
-%% expand_audience/3 — Step 7b. `followers` -> the sender's
-%% followers proplist entry from a follower_graph state.
-%% `public` for v2 expands to []. Step 7c layers a peer-instance
-%% known-set on top for real Public delivery. Other symbols /
-%% explicit ActorIds pass through unchanged.
+%% expand_audience/3 — `followers` -> the sender's followers
+%% proplist entry from a follower_graph state. `public` for v2
+%% expands to the same list (per design §13.4: practical Public
+%% fan-out is "every follower of the publishing actor"). The
+%% explicit shared-inbox peer-instance model defers to v3.
+%% Other symbols / explicit ActorIds pass through unchanged.
 
-expand_audience(public, _Sender, _Graph) -> [];
+expand_audience(public, Sender, Graph) ->
+    follower_graph:followers(Sender, Graph);
 expand_audience(followers, Sender, Graph) ->
     follower_graph:followers(Sender, Graph);
 expand_audience(X, _Sender, _Graph) -> [X].
diff --git a/next/tests/delivery_set.sh b/next/tests/delivery_set.sh
index 7bfc94de..9165fdba 100755
--- a/next/tests/delivery_set.sh
+++ b/next/tests/delivery_set.sh
@@ -76,9 +76,17 @@ cat > "$TMPFILE" <<'EPOCHS'
 (epoch 18)
 (eval "(get (erlang-eval-ast \"delivery:delivery_set([{actor, alice}, {to, followers}], [], follower_graph:new()) =:= []\") :name)")
 
-;; public audience symbol -> [] for v2 (Step 7c will populate)
+;; public audience symbol -> sender's followers for v2 (§13.4)
 (epoch 19)
-(eval "(get (erlang-eval-ast \"delivery:delivery_set([{actor, alice}, {to, public}], []) =:= []\") :name)")
+(eval "(get (erlang-eval-ast \"F = [{actor, bob}, {type, follow}, {object, alice}], A = [{actor, alice}, {type, accept}, {object, F}], S = follower_graph:fold(A, follower_graph:fold(F, follower_graph:new())), delivery:delivery_set([{actor, alice}, {to, public}], [], S) =:= [bob]\") :name)")
+
+;; public with empty follower-graph -> []
+(epoch 28)
+(eval "(get (erlang-eval-ast \"delivery:delivery_set([{actor, alice}, {to, public}], [], follower_graph:new()) =:= []\") :name)")
+
+;; public + followers in same audience deduped (both expand identically)
+(epoch 29)
+(eval "(get (erlang-eval-ast \"F = [{actor, bob}, {type, follow}, {object, alice}], A = [{actor, alice}, {type, accept}, {object, F}], S = follower_graph:fold(A, follower_graph:fold(F, follower_graph:new())), delivery:delivery_set([{actor, alice}, {to, [public, followers]}], [], S) =:= [bob]\") :name)")
 
 ;; Mixed explicit + followers, followers carry two peers
 (epoch 20)
@@ -136,7 +144,9 @@ check 15  "duplicates within :to deduped"    "true"
 check 16  ":to/:cc overlap deduped"          "true"
 check 17  "followers expands via graph"      "true"
 check 18  "empty follower-graph -> []"       "true"
-check 19  "public v2 -> []"                  "true"
+check 19  "public -> sender's followers"     "true"
+check 28  "public empty graph -> []"         "true"
+check 29  "public + followers dedupe"        "true"
 check 20  "mixed explicit + followers"       "true"
 check 21  "followers + overlap deduped"      "true"
 check 22  "collect_recipients raw flat"      "true"
diff --git a/plans/fed-sx-milestone-2.md b/plans/fed-sx-milestone-2.md
index e205f695..9008c263 100644
--- a/plans/fed-sx-milestone-2.md
+++ b/plans/fed-sx-milestone-2.md
@@ -493,11 +493,16 @@ expansion via the audience predicates from M1's genesis bundle.
   suppress_self + dedup helpers + expand_audience pass-through.
   Module lives in `next/kernel/delivery.erl` (separate from
   outbox so Step 8's delivery-queue gen_server has a clean home).
-- [ ] **7b** — Public expansion: when Cfg or KernelState carries
-  a known-peer-instance set, `public` expands to one entry per
-  peer instance for the public-reach broadcast (Mastodon's
-  shared inbox per-instance pattern). v2 ships the empty case
-  via 7a so callers don't have to special-case the symbol.
+- [x] **7b** — Public audience expansion. v2 default: `public`
+  expands to the sender's followers (same as `followers`) per
+  design §13.4 — the practical fan-out for an open social
+  network is "every follower of the publishing actor". The
+  explicit shared-inbox peer-instance model (Mastodon-style
+  per-instance broadcast) defers to v3 when there's a real
+  known-peer-instance registry to drive it. `public + followers`
+  in the same audience deduplicates because both symbols
+  expand identically. 19/19 in `delivery_set.sh` (2 new cases
+  + 1 case updated from the v2 placeholder behavior).
 - [ ] **7c** — Outbox-side integration: `outbox:publish/2`
   computes the delivery set after sign + log and stashes it in
   the Result proplist as `{delivery_set, [ActorId, ...]}`. Step
@@ -845,6 +850,16 @@ proceed.
 
 Newest first.
 
+- **2026-06-06** — Step 7b: public audience expansion.
+  `delivery:expand_audience(public, Sender, Graph)` now returns
+  the sender's followers (same as `followers`) — per design
+  §13.4 that's the practical fan-out semantics for an open
+  social network. The explicit shared-inbox peer-instance model
+  defers to v3. 19/19 in `delivery_set.sh` (+2 new cases:
+  public-with-empty-graph, public+followers-dedupe; +1 case
+  updated from the v2 placeholder). Conformance 761/761
+  preserved.
+
 - **2026-06-06** — Step 7a: audience-resolving delivery set.
   New `next/kernel/delivery.erl`: `delivery_set/2,3(Activity,
   KernelState[, FollowerGraph])` returns a deduplicated list of