But more than that, nicer stadium (and more luxury seating) = higher revenues, which can ultimately be used to pay players as revenue sharing begins to become a thing.
Devoting all resources into an NIL arms race seems like short-term thinking. You need to create and invest in other revenue streams so that the program as a whole is healthy. You want to be strong and attractive across the board so that the program can survive the occasional down years and ebbs/flows of donations/contributions/NIL booster support.