"[...] Also in 1975, Ken Thompson took a sabbatical from Bell Labs and came to Berkeley as a visiting professor. He helped to install Version 6 Unix and started working on a Pascal implementation for the system. Graduate students Chuck Haley and Bill Joy improved Thompson's Pascal and implemented an improved text editor, ex. Other universities became interested in the software at Berkeley, and so in 1977 Joy started compiling the first Berkeley Software Distribution (1BSD), which was released on March 9, 1978. BSD was an add-on to Version 6 Unix rather than a complete operating system in its own right. Some thirty copies were sent out."
I don't think that in 1975 Berkeley was all that bad for future computer scientists. Seemed like a pretty good place to be actually.
Same with University of Illinois, where Marc Andreesen helped create Mosaic and launch the consumer internet.
I suspect most universities can tie themselves to some modern massive success.