The blue rendering is an updated AMX/3, a prototype mid engined sports car that Dick Teague of AMC designed and was built in Italy. I beleive the year was 1970 or 1971. It was equipped with AMC's 390 V8 and had a Oto-Melara transaxle. Several were built and are here in the US.
The updates on the drawing include the Prowler like wheels and the wall to wall tailights. This would really be something if it were revived but I can't imagine that it would be financially viable.
A revival of the 2 seat AMX or a 4 seat Javelin derivative off a current platform doesn't seem to make a sound financial decision since that spot is already occupied by the Challenger.
I do beleive that a next generation Challenger that's smaller and lighter could be a better competitor to the Mustang and the Camaro but would have to be a real visual knockout to take conquest sales away from the Mustang and the Camaro. I don't there there's a suitable rear drive platform in Mopars' toybox with which to build such a car and turn a profit.
I think Eagle/AMC should be a companion brand to Jeep for crossovers and AWD cars. An AMX could be a hot AWD road car, maybe something smaller that could be sold outside the US (smaller displacement) next to "global" Jeeps. I agree it could make a good youth car here in the States.
While I am a big fan of the unique AMC styling, I really can't see it happening. The AMX, Javelin, Matador and Ambassador were like no other.
It would compete with and overlap sibling models which is something that Chrysler-Fiat still can't really indulge themselves in right now.
The Eagle brand was marketed and dropped. Nostalgia sells to those who care to remember good experiences with these cars.
Good business decision? Probably not.