I've always called this Feature Cram, and it's standard procedure at basically every company I've ever worked, small and large, B2B or B2C. Nobody is willing to say "Our software is a success and it's done. Let's fix the major bugs, put it into maintenance mode and start a new, separate, great idea!" Nope, instead it's always "OK the MVP is going well. Let's jam ten other unrelated things into it and see what takes off and what are the dogs (and be stuck with the dog features as technical debt forever). Then, when none of them reach the success of the original actually solid idea, they hire moar people and jam 40 more feature ideas in. Eventually, the original great thing that brought the company success is so hard to find and use because of the weight of the other crap, that a new upstart that Just Does One Thing Well comes in and eats their lunch.

Then, at that new upstart, someone asks "What else can we bolt on to this thing to make it really grow??"