Moronic and meaningless buzzword to denote a video game of some kind. Originates in the days of the "interactive movie", a time of terrible experiments combining gameplay and video footage. Interactive movies quickly earned a much-deserved bad name for screwing up both the components that the name implies, so companies started using "interactive game" instead, hoping people were stupid enough not to notice. Though the genre is more or less gone today, the term is still in use, usually by the same people who say "internet website" instead of just "website" believing the redundancy will make them look, uh, smarter or something.
I'm sure glad this interactive game is interactive, cuz otherwise it wouldn't be a game would it?