I think most of that is fear rhetoric from the NCAA. In my view, there are only so many slots. Kansas still only has 13 scholarship slots. There aren't a whole lot of people who were previously playing at a mid-major who could have played at a Kansas type of a school, so this really isn't going to affect them. Not many guys are turning down Wichita State for Kansas now, let alone a Southern Illinois-Edwardsville type of small school, so what changes there? Small schools have always had small budgets anyway, so that won't change. Maybe a top guy at a small school gets a small endorsement deal, while a guy at Kansas gets a new Mercedes, but that kid from SIU-E was never going to turn down Kansas anyway, because Kansas wouldn't have wanted him.
Maybe I am totally wrong, but I see this as already built into the system the NCAA created, so I don't see it changing much, except the kids actually getting to profit from their own skills.