In terms of hardware, the needs of most students are fairly basic. A good multi core processor and a fair amount of RAM will help with multitasking, and a decent sized hard drive is helpful to store schoolwork along with music and video files for down time.
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Beyond that the internal components of a student computer should be focused on reliability: picking out parts that have a history of stability or are from brands with a good reputation is important. Most students are also price conscious, so avoiding excessively expensive items is good too.
While laptops are a popular choice among many students these days, they are often not the best choice. Laptops tend to cost more than desktops for the same level of performance, and while they can be taken to class they are also much easier to lose or have stolen.
As such, having a PC in the dorm room or apartment is great solution. Most people staying on or near their campus do not have room for a full tower case, so going with a small form factor chassis is a good way to save space; it makes transporting the computer at the beginning and end of the year a lot easier as well.
Lastly, there are many students who enjoy not only watching and listening to media in their off time, but also playing games. This is another area where laptop computers tend to be at a disadvantage, but a desktop (even a small one) can be upgraded to improve performance with games and other more demanding tasks.
It can be as simple as adding a good video card, though more memory or a faster processor may also be worthwhile. A well built desktop computer can accommodate such upgrades!
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