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I don't like the way the play-in is structured. 7 and 8 shouldn't play each other. It's forces 1 of them the play 2 games.
7 should play 10
8 should play 9
If 7 and 8 win, game over they both move on. If both 7 and 8 lose, they play each other winner take all. 9 and 10 play each other winner take all. 7 and 8 have to win 1 game while 9 and 10 have to win 2. 7 and 8 should be rewarded though for being a 7 or 8 by not having to play 2 games if they take care of businesses beating either the 9 or 10.
I agree there should be a change to the play-in format. I would do it a little differently, and the change would be related to a change I would make in the lottery format.
First, I would reduce the lottery to the bottom 4 teams and give each an equal chance at the #1 pick. Then, I would increase the play-in to the 7 through 12 teams in the the conference standings.
In play-in round 1, 7 hosts 12, 8 hosts 11, and 9 hosts 10. The three losing teams are eliminated. The highest seeded remaining team gets the 7 seed in the playoffs. In round 2, the 2nd highest remaining seed hosts the last remaining team, with the loser eliminated and the winner getting the 8 seed.