To answer the post title question. I believe it would be horrible for baseball. I wouldn't be shocked if there were less than 50 baseball programs still around if they did this. Too many people see billion dollar tv deals and think billion dollar net profits. That's not how it works. A very small amout of schools make money off of athletecs. When schools have to make the decision between paying football or basketball players or having a baseball program, I believe baseball will lose almost every time.
It will be very sad for baseball.