Lots of reasons. Mainly in part that BRP has a lot more equity. They're yearly profits are much higher due to not only Can-Am, but Seadoo, Skidoo, outboard motors, etc. Also, KTM just doesn't have the ATV following. Most dealers around me refuse to even work on KTM quads, let alone sell them. With limited sales there is limited money to invest. Be happy that they are investing what they are. If the economy picks up and they keep making the quads then maybe in the future they'll spend more on racing. The ATV market just doesn't have the following compared to the two wheel world.
my personal opinion is these quads were kinda a test bed to see if ktm wanted to go into the quad scene. It wasn't ever a full blown try at it which is why you see limited support. For those that have followed KTM for long time proubly rember the last time KTM tried to jump into AMA motocross and supercross on the bikes it was kind of just get a taste to see what it takes kinda thing they hired jeremy mcgrath to ride and not really anyone else. And now several years later we are seeing the fruits of that testing with the full blown KTM team now
so to make a long story short give them 3 to 4 years and they will blow up the atv race scene right now they are steping back from it
znutt, that is an interesting observation, sure hope it is the case for the ATV products as well.
KTM's big into MX in Europe, in the late 90's thats when the now venerable RFS engine came into being as an outdoor MXer in the SXS 540 guise with NEW ZEALANDER Shayne King winning the world champs in 1996 for KTM and 2nd in 1997