Gallon yes, but I don't think Funchess will be that much of a threat. He had a break-out game this year against AF, but his production trailed off after teams were able to scout him. He'll be a weapon and matchup problem in red zone and key situations, but I don't see him as a down field weapon. That said, if he puts on some weight and gets better at blocking, his usage and production could both increase.
The nutty Michigan coverage isn't so much about Harbaugh as it is a signal to the Big Ten that Fox wants to party.