Following on Dave's post from the weekend, John Rosenberg discusses the Michigan case at length.

...whatever benefits derive from diversity are provided by the preferentially admitted minorities, not to them. ... Not to put too fine a point on it, the elite institutions that offer racial preferences are using minorities to provide "diversity" to their non-minority students. In return, those students are allowed entry into institutions whose requirements would have excluded them if they had been judged by the same standards as the other students. This bargain may or may not be beneficial to the instiutions or to the preferentially admitted, i.e., differentially treated, minorities, but it is a fallacy to point to diversity benefits allegedly received by the preferred to justify the preferences extended to them. If "diversity" justifies racial discrimination, it is because of the benefits received by the non-minorities who are exposed to the preferentially admitted minorities. To claim otherwise is less than honest.

The whole article and the links merit serious attention.