I absolutely believe it will discourage further rulebreakers. The problem at Penn State wasn't just that there was one guy doing bad stuff, it is also that the school itself didn't have the rules, procedures, and oversight in place to deal with it as it was happening.
The sanctions handed down were quite significant. I would be absolutely STUNNED if every single athletic department in this country doesn't sit down and review and strengthen if necessary their own policies because of this. It is unfortunate for Penn State, because they are being made an example of, but at the same time, I think it was necessary. There is a problem in college athletics. Too many programs have an untouchable status and I have no doubt there are other schools with dark secrets. Student safety and academic integrity must come first. Not Money. Other schools will definitely take note of this and hopefully make sure their own houses are clean.