So would the best of both worlds be the combination? Four-year CS program for the fundamentals and the deep knowledge, then the summer after graduating (or really, senior spring, when the coasting sets in) a bootcamp-style training on practical development?
I don't think that a traditional CS degree makes you code enough to become a good software engineer. I certainly wouldn't have gotten enough practice actually writing code if I just did my coursework and didn't dabble in other things, like game development. Let alone other practical skills, like debugging/profiling (barely touched upon), source control (likewise), testing (completely ignored), project management/estimation (noop...).
I'm still amazed and horrified that I took a Data Structures and Algorithms course that required nothing beyond proofs and a little pseudocode - not a line of actual, working code. It could be tailor-made for really understanding memory-management or TDD.