I dont think you should provide housing, however I do believe it would be beneficial if there would be the opportunity for new companies/teams to live with each other if they choose so. Clearly, for some people, that is contraproductive (you mentioned Larry and Sergey), however I think for especially smaller and newer teams, having this community that lives and works together can be great.

In some senses, it is like on and off campus housing: Sure for some people off campus is less of a distraction, cheaper or just totally sufficient, but it is arguable that the on-campus philosophy of American colleges has contributed to Americas success.