Agreed. As someone who recently graduated from a relatively good (2100 median SAT score) school that ISN'T a top five CS school, it was absolutely insulting how often I was completely ignored by companies like Google, Facebook, and Amazon. I understand that the median of talent is probably worse at my school than at, say, MIT or Stanford, but the top quarter of my CS year was full of brilliant people who had an unnecessarily difficult time getting hired by top tier tech companies for no good reason.
These companies could definitely improve their hiring quality by drawing top-tier students at lesser schools instead of hiring below-median talent from target top schools.
My experience is that there’s almost always some top tier talent no matter what school you’re in. Particularly when young, the school one goes to is often more a choice of circumstance and randomness than of deliberate thought and Oracle-like forsight on the school’s behalf.
These companies could definitely improve their hiring quality by drawing top-tier students at lesser schools instead of hiring below-median talent from target top schools.