Finally some common sense! I was going to write the same thing-you beat me to it! I would provide internet access in the classrooms labs etc-the dorms would be another story.
I don't buy the fact that the network cannot be adapted. For several hundred captive "customers" the ISP's would gladly pull fiber into the dorms if they had to. That's if the university couldn't "lease" extra fiber pairs to the ISP's anyway. Again, the dorm students could have the ability to choose from several commercial ISP's.
Now to be really compliant the university would have to say "no file sharing on our network", which would consist of the servers and work stations in the classrooms and labs. A simple firewall and some policies (for students and staff) should do nicely. The firewalls could filter out traffic at the port level-relatively easy to adapt to new file sharing techniques. Make the policies real severe just to show the RIA that you mean business. Take this a step further, don't even provide WI-FI to the students in the classrooms but cut a deal with the cell phone companies to provide internet access at a discounted price.The students, if they were smart, wouldn't do file sharing on the universities network anyway, they would do it in their dorm rooms, apartments, or on their private networks-none of which are connected to the university.
Another benefit is that the Universities staff can concentrate on providing security for what matters to their "business" instead of being a police force.