This is the kind of deflection someone makes when their point got proven wrong. Getting rid of divisions is irrelevant to this. All that means is that you'll play more teams in the conference more regularly, but a lot of teams less often than you currently do. Some teams will remove from their schedule playing Alabama every year and replace it with, likely, a worst team in the other division. So some schedules will actually get easier.
Your first argument in all of this was pretty literally, "you can lose more and still get in". Which is the crux of my entire position. By saying that, in more words or less, you're acknowledging the reality that regular season losses will mean less.
By making losses less impactful you now have essentially, as you put it, diluted the regular season so more teams get in. The idea being that it will be more exciting for these, relatively average, teams to make the playoff. And I just don't agree. Those teams have no shot at winning anything. Maybe the top 5/6 do. Expanding to 12 puts meaningless teams into a playoff to lose meaningless games and occasionally knock out one of the better teams here or there, making it easier for one of the other good teams to win a national title. The problem with the entire premise of a 12 team playoff is that those who support it think those teams have a chance, and they simply do not.