Ehhh. Obviously #1 is exaggerated greatly, but I've found a bad football program has helped us in the past. Many basketball recruits at football games have commented that they loved the experience. They note that IU is talking basketball even in the middle of football season. It's almost like we're bad at football on purpose.
It doesn't matter who we play in football but I think the big games (like Ohio State) where we lose is better than mediocre games where we win.