BYU football is currently in, it isn't going to make those losses to Toledo and USF go away, isn't going to magically solve our coaching issues and consistency issues, and it isn't going to make me suddenly feel any different about BYU's future.
So, yes, I agree with you that Utah having national success isn't good for BYU and recruiting and it will be fun to see their fans humiliated and feeling terrible, but that isn't close to my main concern or in any way going to make me happier about BYU football. BYU has enough internal issues (outside of getting a recruiting advantage over Utah by having them lose in their championship game) that need solving before I can get too excited or worried much about it.