Last time I was at the MIT media lab for a conference, I was able to get an unfirewalled external ip address from their wireless network. It was amazing. I briefly streamed live audio of a talk via shoutcast, but of course, nobody uses that stuff anymore. It really makes you ponder what a cloudless internet would be like.
A little over a year ago, my university gave up their generous range of IP addresses. You could plug in ethernet, and not just get an internet routable IP (albeit firewalled from incoming traffic from the internet), you would even be assigned a subdomain off of the school's .edu domain. It was great. Students ran servers in their dorms. Clubs ran servers. Some professors ran servers. Even though you couldn't listen on a socket for incoming traffic from the internet by default, it was unfirewalled internally. I had to briefly live in student housing, and I was able to connect to my server via the school's http proxy via corkscrew. There were so many cool uses for it. Students were encouraged to run web servers if they needed hosting. It was also much faster[1]
I think CMU still provides fairly decent network services.
It was an insanely useful utility provided to students, and any serious engineering school should do it.