I don’t know that people were intentionally trying to exploit athletes. That’s a newer narrative when NIL picked up. Perhaps I’m naive in that thought.
I believe it was a case of trying to put more and more controls in place to address problems, cheating, etc. to follow amateur competitive rules. As with most regulating bodies they just add rules vs. being strategic and it becomes bloated until failure.
I admit it may have become that in the last 10ish years, just don’t think it was always an intentional initiative.
The NCAA was in a bad spot but they knew the players were being exploited.
They knew some were getting paid illegally and were worth far more to the schools than just the athletic scholarship. They knew that.
They also knew that what we're seeing now was the outcome if they started compensating the athletes openly. They knew they couldn't control NIL, nor any open compensation, without turning college athletics into pro athletics. They knew that.
I've seen over and over people saying "They should've compromised. They should've let the players get some money." They can't now and couldn't then control compensation once they allowed it in any form.
How are you going to tell schools you can openly give $20M to athletes, but that's all..... no more and not expect to be sued because an industry like, for instance, the auto industry can't say "No automaker can have a payroll of more than $20M. Not Chevy, not Ford, no one." That's directly non-competitive for businesses. Forget the workers for a moment, that's not good for the businesses competing to get workers. The NCAA knew this.
They couldn't crack the door at all on player compensation without it turning into an open bidding war with no limit on a team's budget for players. UNLESS, they go to a pro model with unions, salary caps, free agency rules, etc, etc.
No one wanted to see that so the NCAA willingly exploited the athletes as long as they could so everyone else in the industry could make money. They knew it. They made a choice.