As a college senior myself, I think it's a bit of both. I think a lot of students buy iPads for the social appeal, and there's definitely something to be said about the impression that having a well-organized digital device gives that paper can't necessarily accomplish in things like interviews. That's not something that the STEM-brained among us care to admit, but fitting in socially can make or break your chances of advancement sometimes. I also see a lot of people cite genuine organizational advantages, which I can definitely understand. Being able to sort and access notes/assignments without having to scan them is a nice perk, as is being able to screenshot slides and record lectures (the ethics/efficacy of which are both up to your interpretation.) Color-coding is helpful to some people, as is being able to resize content on the page as needed. Then there's always the perk of having an internet-connected device on-hand for things like watching Zoom lectures, submitting assignments, etc. Being able to tackle all that on-the-go without relying entirely on your phone is nice.

There are occasionally some arguments put forth about environmentalism and saving the trees, but given the environmental costs of battery production, I really don't see it as a good reason.

As for my thoughts on the matter, I've honestly always thought that investing in a high-end iPad for college alone is (for me) a massive waste of money. My campus has plenty of computers available through their AD, so finding somewhere to get online is rarely an issue and is often easier than depending on our subpar mesh network. That's also how I access my textbooks, all of which are either online or (conveniently) located on my OneDrive. (Side note: I was also the idiot that didn't consider the combined weight of my gaming laptop and its massive charger when buying it at 18, so not having to carry it around campus on 95% of days does wonders for my back health.) Pen-and-paper has always worked fine for me, and the two little journals and pens that I carry around are plenty functional for my two in-person lectures. I have a huge problem with staying focused during lectures, so not having another device to yell at me or send me notifications in the middle of when I'm taking notes is a huge perk. If I really need to check an old set of slides or look something up, I have my phone for that. Finally, there's always the fact that not having another $1k+ device in my bag to break when I fall off of my skateboard, get stolen, etc. keeps a lot of pressure off of my day-to-day activities.

That being said, it really comes down to how the individual student uses it. If it's the main hub for all of your notes, assignments, meetings, calendar, etc. and that's all you need to get through the day, all the more to you. $1k over the course of a 120 credit degree is around $8.33 for every 3 credit class, so as long as it's providing that value, it's well worth it. I take issue with people suggesting that it can revolutionize your classroom experience because I find that with education the system that works best is the one you know. If I were to try to make the switch, I know it would end up being another source of distraction more than anything else. I may not be the norm though, and that's perfectly fine.