If you're a good engineer, who's also a recent graduate, deciding to do a startup comes at a cost (e.g. reduced salary) -- more so depending on how much debt you've accumulated.
With that said, I'm all for informing students about all the options that are available and allowing them to choose.
Though, I would love to see more engineering graduates of Seattle colleges join startups.
Many of the students that wanted to go into startups after graduation instead of a job either had started on some product during school and wanted to see that through to completion, or were of the mind that they could just work for a few years at {Amazon, Google, Microsoft, ...} and then do the risky thing.
There is also a lack of exposure in the curriculum. They are in the middle of re-designing it, but before that only one class let you create a small team, come up with a product, and build it. It was seen as a painful course (it was) and it was also taken by most everyone (including people who couldn't care less, so it was hard to find a group of 4-5 motivated people). I don't recall any hackathons when I was there aside from ACM programming competitions.
All the literature about the program mentions that you can optionally take 1 capstone course (which are the big project courses that let you have free creative reign over what you produce). My solution was to just do 3 capstones instead.
I ended up taking the Google/Hadoop project course, distributed systems capstone, and Dan Weld's web services capstone. Each quarter I had 3-4 people on a team, and we were able to build something awesome.
To me it always seemed like a problem of advertising the opportunity within the department, and encouraging big risky projects vs. focused, assigned classwork.
You were actually one of the people I was thinking of when I originally put in an aside about the really motivated people still doing it. I then removed that aside, but I probably should not have. The really motivated people are going to go into startups; they caught the itch at some point and need to scratch it to remain happy.
The subset of people that could go either way (startup or corporate) don't quite have the opportunity to see what a startup would be like at UW. The capstones are good, but for most they are an afterthought to be done in the final quarter or two, when they have most likely landed a job already. Software Engineering (CSE 403) is more about satisfying a requirement than about building something, and that is all most students end up with.
This sounds valuable enough that I'd be willing to plunk down some of my company's time to make this happen. That said, I suspect we'd be a rather poor choice to drive this as we're running pretty independent of the rest of the Seattle startup scene.
Given our community, though, there's gotta be someone whose a decent fit for this.
Anyone?
My original comment was a bit too focused on the companies' side of things. I think the main issue is a lack of awareness on the part of students. In my experience (as a current undergrad at UW), students simply don't know about the local startup scene and thus don't take the steps to capitalize on it. Given the decent number of organizations and meetups in the area that would provide good avenues for students to get involved (Seattle Tech Startups, Startup Weekend, Hops & Chops, TechCafe, etc), it's more a matter of connecting the dots than developing new social structures.