Car sharing is a natural for college campuses. Often, students and faculty have little need for a car, either because the campus is situated within walking distance of stores and services or because it's fairly remote and self-contained. The expense of car payments, insurance, and parking is just not worth it for many--but a car does come in handy sometimes, and car sharing is perfect for those times. Not to mention it helps the campuses contribute to a more sustainable world, one of CSU Chico's stated reason for starting the program.
Zipcar says it has programs on 120 college campuses across the country and I imagine that will only grow.