Atari isn't a bad name. People name their child after stuff all the time, countries, animals, words, and so forth. Why is it so wrong to name it after a company if the people like what the company stands for/does and the way the name sounds? It may seem a bit strange, but its not without plenty of precedence.
The whole going into labor thing is also completely overblown. She thought it was false labor, and waited. The contractions probably weren't close together if she believed that. It also began during the demo, so by the time they actually figured it was labor the demo was likely almost already over. Staying a few minutes to see the event they came for in the first place is not child neglect. Was it a rational/good desicsion? Clearly no, but its hardly so horrible to call social services/pity the child for their now certain horrible life growing up unloved and uncared for by their game addicted parents.