I think the answer is that Erlang's creators are not academics and they sort of never went out of their way to tout functional properties of their language. Functional properties fell out of their requirements for simplicity, fault tolerance, concurrency and reliability. In other words the goal of Erlang was never to be functional but to be useful for fault tolerant distributed systems.
Someone down the line probably mentioned to them "Hey, btw, did you know you have a functional language?" And they probably shrugged and said "Oh, cool!"
I would guess Joe, Robert or Mike never went about reading papers on type theory, thinking about meta-circular evaluators, or y combinators etc and said "We need that, let's implement it!". Instead, they started with stuff like "let's minimize state" so made state explicitly passed in. "Let's minimize mutable state", so make data immutable. So then need recursion instead of for loops, so let's think about tail call elimination. They played with Prolog so language inherited the base Prolog syntax which has a functional taste to it, that helped as well.
The same thing kind of happened with the actor paradigm. They never started with a goal of implemented an actor / message passing programming paradigm. It just fell out of fault isolation property. Someone later told them "Oh btw, did you know you have implemented the actor paradigm?" and they probably shrugged and said "Oh, cool!" and went back to doing whatever they were doing.