It's a shame that the University punished him for helping out students, though it certainly may have hammered the class registration servers as a side effect. Either way though, this is going to get a lot of publicity for a guy who's undoubtedly talented and motivated.
Considering the effort he put in to both this and the parking app, it looks like the guy would have little difficulty getting a job in the Bay Area or other startup havens, even sans-degree. At this point, I'd probably leave the university if I were him. Employers will accept him with open arms.