It’s likely CentOS 7.9, which was released in Nov. 2020 and shipped with kernel version 3.10.0-1160. It’s not completely ridiculous for a one year old POS systems to have a four year old OS. Design for those systems probably started a few years ago, when CentOS 7.9 was relatively recent. For an embedded system the bias would have been toward an established and mature OS, and CentOS 8.x was likely considered “too new” at the time they were speccing these systems. Remotely upgrading between major releases would not be advisable in an embedded system. The RHEL/CentOS in-place upgrade story is… not great. There was zero support for in-place upgrade until RHEL/CentOS 7, and it’s still considered “at your own risk” (source).