Yeah, sounds like they misunderstood the question. Probably could have honed it more specifically, too. What I remember hearing was "more challenging content" and Yoshida definitely took it to mean "make the content you are putting out, more difficult."

Making it more difficult led to Gordias which killed Heavensward raiding.

Might have been better to ask "can we get additional, varying levels of difficulty to all of the content?"

But people have already asked for a third level, like Savage Extreme, and I believe dev team has already said no, it will remain normal and savage.