BS in Electrical Engineering (1986). Focus was on analog circuit design, and I am now an engineering manager in a semiconductor wafer fab. I love the company I work for, and I love my job -- right in the middle of the latest technology!
Have been working for "THE" semiconductor company since 1988. (Yep, Pentium 4 and "ding-ding-ding-ding")
IMHO, we have one of the best programs for college co-op and internships. In addition to the typical summer co-op program, we also offer Fall and Spring semester internships. Most universities award credit hours for this. We cover the cost of relocation (travel expenses from a student's home to one of our work sites in CA, OR, NM, or AZ), provide an apartment (usually two students share a 2-br apt), and pay a very competitive wage.
Most large, technical companies in ths semiconductor and computer fields prefer to see co-op experience on a resume, and we specifically use it as a "feeder" system to find and attract new talent.
Despite the current business conditions, we have kept this program going strong -- for all of the obvious reasons!
Best of luck
Scuba Legs
p.s. I would challenge the assumption that "he would learn more in a small company". What's important is that he finds out what kind of project he will be working on, and base his decision on facts, not generalites.