Exactly. What exactly was there to lose by using the transition tag at the very least? Even if they knew there was no way Byrd would sign with the Bills, it would show the fans and the existing players they cared about retaining talent. By not using it, they send all the wrong messages to everyone.
"If you blossom into a great player and outgrow your contract, your best bet is to hardball the franchise and they will just release you".
And to the fans, "Watch and root for this great young talent, the better he gets the closer he gets to leaving the organization". That's not gonna sell jerseys.