Nerve Induction is an 'Area of Effect' Weapon / Defence
The closest analogue to nerve induction we have in our world is a mighty roar. This is as much a defensive measure as it is a stake of claim on territory; A lion's roar can be heard over great distances and tells other lions that you're in the area, you're a badass, don't mess with me, etc. The point being, it tells people to leave you alone.
That said, male lions tend to operate alone or in very small groups, regardless of whether or not they have a pride with them.
What if lions were prey themselves? To pack animal predators?
A roar would only advertise your presence to a superior force. In such a case, you need something that has the same area of effect properties, but with a bit more bite than bark, so to speak. Something that actually makes you a harder target and make that superior force think twice about taking you on.
The trouble with bite, punch, or kick attacks or their analogues in your xenobiological ecology is that they can only take on one attacker at a time. You need something that will ward off a pack and make them keep their distance. In that sense, a nerve induction capability is a great answer in that it forces the pack hunting you to keep their distance as a group and allows you to focus on getting out of danger, rather than fighting. If you are protecting a pack of your own, it also keeps predators away from your partners or your young.
It's a defensive capability designed to work against large packs and protect a small family group of your own so you can focus on getting them clear of the danger. Basically, you want your predators to think twice about even coming close to you. In evolutionary terms, the kind of specialisation and energy requirements this kind of ability represents probably means that you have a species with a very low birth rate on a high pack-predator environment and that protecting young is of critical concern for your species because attrition through loss of young has a devastating impact on your numbers.
So, with a low birth-rate, high concentration of pack based predators, and the unhappy circumstance of NOT being at the top of the food chain, this would actually be a pretty cool evolutionary response.