From what I remember, getting internships in general was pretty hard. They were limited, and so many programmers wanted them. I have no idea whether an internship normally leads to a permanent job after college. I know it works that way in other professions, but I have no experience with it in computers.
Having said that, we have just hired 3 part time developers from the local university. One is a student (graduates in December and will come on full time), the other two are teaching assistants and may or may not come on full time when they graduate. We hired the student because we wanted a junior guy and he was very good. He told his teachers about us since were one of the few C# shops in town and they were interested and also very good.
As for learning real world experience from an internship, take note of where you do your internship versus where you might want to work one day. Smaller companies tend to be a little looser on design and documentation while large companies, especially government jobs, tend to put a lot of emphasis on design and documentation (and other procedures). My first job was the former and while I learned a LOT about VB I didnt learn much about working on larger projects the *right* way. Its one of the reasons I left actually, though I wasnt sure what was missing at the time.
-Ner