Well, I would hope the engineers working on Netflix and Caraoke aren't the ones who are working on self-driving features. They seem like different enough things that they could be worked on simultaneously. Full self-driving is a long time away anyway, and while we wait for that, features like this help cope with not having full self-driving and differentiating the car in the market.
But they are spending money and time on the engineers who are adding those features to the car, and on testing and integrating those with the rest of the software. Is that the best way to be spending their money?
Integrating that game was probably 'free', because I bet the game developer paid to have Tesla distribute their game as advertising. That's why you only get the first level.