Its a dummy gauge - it stays at exaclty 12:00 so that most people think its correct & the car is happy.
Imagine sitting at 80MPH for 2-3 hours, the engine gets hot and then you come off the highway and sit in a queue of traffic for 15minutes.
The temp on the gauge should be rising but 99% of people who see their car as an appliance and dont really understand the tech behind it think 'OMG the car is overheating' and take it to their local dealership.
Dealership wastes their time looking for a problem that doesnt exist, customer (who doesnt understand how these things work) thinks the dealership are stupid/incompetent for not 'fixing' the problem and gets a bad impression of the brand.
To get around the stupidity of the average population, OEM's invented gauges that lie. They only deviate from the 'normal' 12;00 position when something is seriously broken.
Consider oil pressure at cold WOT vs hot idle - people who dont understand what theyre looking at get confused and panic - so your gauges have been replaced with 'idiot lights' and it is for this exact reason that seperate mechanical gauges are far more helpful in allowing you to monitor exactly what is happening with engine operation.
A semi-acceptable alternative is to use torque to monitor engine performance through your phone, but VDO gauges look better.