BINGO BANGO! I've been waiting for more articles to appear in the academic litterature about the utility of Blogs in Higher Education.... and here's a beauty! Nice work by Jeremy Williams and Joane Jacobs published in the Australiasian Journal of Education technology in 2004.
I especially like the analysis of the data collected from the Brisbane School of Graduate Studies on their use of Blogs in an MBA two MBA courses.
In summary, there seems to be a broad favourable reaction by students to using this technology in University settings. However, best practices which outline effective usage of this technology may not yet exist.