Some years ago I owned a Mercedes CLA which had Android auto controlled using the rotating joystick with push down to select. The experience was perfect. It was fast, could be handled without any distraction, never misbehaved and never detoriated over time. Now I drive a car with touchscreen ... it's bullshit but I guess it looks fancier.
It doesn’t look fancier, it is just cheaper to manufacture than using the buttons and wheel.
The touchscreen also enables different engineering divisions to work in parallel, without waiting on one another. This drastically reduces development time. It is also cheaper to manufacture, more reliable as there are less moving parts, and reduces parts inventories at dealerships.