Uh, no? They'll still take the 4-5 star kids. That's not changing. They'll just have less walk ons and less "filler" talent. and less upper 3 stars.
What is going to happen is smaller colleges become the minor leagues. LSU, Ohio State, etc, fill their needs with ready made players from smaller Power 5 schools or non-power 5 schools.
Those power 5 schools recruit a high school kid, develop him, and then when he's a junior, Alabama comes in with a million dollars or whatever it is and those 2-3 years developing that kid into a high level college player.
Jordan Addison at Pitt comes to mind.
Trent Dilfer at UAB went on a rant over the summer talking about this very thing.