I am a dual degree student at IIIT Hyderabad. According to me, a dual degree is a really good choice. One of my seniors got an internship offer from Facebook London for this summer, during her 5th year. The summer before that she interned at Google Dublin and during her 3rd year, she did GSoC.
Dual degree students have at least a year extra as compared to single degree students.This is a huge advantage and they can utilize the extra time they get for internships and projects without the burden of placements and a heavy coursework load.
Thus, dual degree students at IIIT Hyderabad do go for internships and projects.