I was talking with a neighbor who is going to DePaul University for software engineering. Things have definitely changed since I was in college. He was working on a Java PDA app and a traffic light controller application. That is a long way from encryption programs and inventory reports.
One thing that is a little scary is that he says his focus is on project management. Now maybe my thinking is outdated, but I don't believe that you can effectively manage developers without knowing how to develop yourself.
Now the question is does taking a few development classes qualify? To my way of thinking, no. There are just so many things that you don't encounter in the class room. Things like how do meetings affect your ability to deliver code on time and the impact of ever changing requirements don't come up in the academic environment.
So let's change the question. Should they teach project management in school. Most definitely. It is just as important for a developer to understand how a project is managed as how to build the software. I just don't believe that someone right out of college should go straight into project management.