> so it would be stupid (plus impossible) not to let students use it

It's been plenty of years since my college days, but even back then professors had to deal with plagiarism and cheating. The class was split into a lecture + a lab. In the lab, you used school computers with only intranet access (old solaris machines, iirc) and tests were all in-class, pen-and-paper.

Of course, they weren't really interested at all in training people to be "developers", they were training computer scientists. C++ was the most modern language to be taught because "web technologies" changed too quickly for a four-year degree to be possible, they argued.

Times have changed quite a bit.