We don't know the P&L of PSU basketball. PSU could poor a ton of money into the program and still lose. What saved football is the 100k fans that show up for every game, thick or thin, GaSt or ND, rain or snow, JVP/BO'B/CJF, etc. As PSU competes with B1G schools like tOSU, UM, Indy, Purdue and Sparty these teams all have established programs with histories of championships, success, and NBA superstars. Locally, we compete with Pitt and Villanova for players. They also have a much better history than we do.
PSU can spend a $100m on basketball and get nothing. And, I'd add, NCAA basketball is replete with cheaters. In fact, it is to the point that if you don't get dirty, you don't win. I am not sure PSU wants to sign up for that at this time.