Sure they could build it....but who would they sell it to?
- Touring riders? They'll prefer more luggage capacity, weather protection, passenger accomodation and a bigger tank = more weight
- Hard core trail/enduro riders? Do they really want more power, weight and thirst than the 690?
- Dual sport 'one bike does it all' riders? Maybe but they'll need a mix of the above
- Adventure bike buyers on a budget? If they don't want to spend up to 990 or 1190 levels, would they be prepared to pay sky-high prices for top-spec lightweight construction?
It does appear that the market appeal is for those who want to ride trails and can put up with a little more weight because it means they have better high-speed comfort to get to there. I'd like to see KTM make something like this but in order to make it marketable in 2013 for global sales, they would end up adding so much to the original concept that it would simply be a lower powered 990 Adventure that is just a little bit lighter and more manageable.
Look at the price point between the F800GS/Tiger 800XC and the R1200GS/Tiger Explorer. If KTM tried to sell this bike at a competitive level with the 800s they would need volume sales.