This means that we have ten weeks to take people who may have never programmed by typing text into an editor and teach them enough CS and programming that they can implement their own hashmap in Python and reason about its big O performance in one week, start programming in MIPS assembly the next week, and implement function calls in assembly and reason about stack frames the following week.
Anything we can do to make their learning curve less steep is good. You say that your Data Structures course was graduate level, and that you were already familiar with C from a lower course. These are two big differences between you and our first year intake.
Now, like Spolsky, I too have a bit of the Yorkshireman in me, and I wish our students would be forced to work with simple text editors and the command line, instead of having the IDE to do some of their lifting for them. I wish they were taught more maths too. And spelling, now that we are at it. And C, why not.
But when you say that in your course you "just had to focus on our algorithm and nothing else", it echoes exactly our intention when we picked Python for this unit. We wanted the language that would allow our students to focus on the fundamentals, and spend the least time and effort on the incidentals. We were already running the unit in Java, which was an inherited decision. I think Python was the best of our available choices.