Speaking as an obvious homer, it would seem like ISU would have a greater incentive to drop the series, as the new schedule is (seemingly) going to make it harder for ISU to get to a bowl game. Go the K-State route, schedule three wins, and and go from there.
That being said, ISU will probably have a hard time finding someone to replace Iowa that would fill the stadium like Iowa and Nebraska do every year, and with Nebraska off the schedule after this year...it's an interesting situation.