It is good for the players, and also just facing the modern reality.
With players getting paid, many don’t want to risk injury in the NIT. 5 major conference teams declined NIT bids this year. More NCAA tournament games means more opportunities for players to showcase their talent on the biggest stage.
Also, with players getting paid, it is almost impossible for a 16 or 15 seed to win. The chasm between even the mid majors and low majors is massive. There is no overcoming it anymore. The bottom 12 conference champs should have a play in. It gives those teams a chance to win a game, and gets the best possible 15 and 16 seeds for the round of 64.