The impact of the loss has as much to do with it as the spread in Vegas. Michigan was a legitimate national champion contender that year. The shock waves of that loss are still heard today. Don't hear many people talking about the Stanford-USC game. I see your point, but the gravity of a loss is also dependent upon expectations.
“The player development is the main thing I like (about Michigan),” Williams said. “You can see that they develop their players. They get them in the gym and they work them hard. And their hard work pays off.”