After the founding of the teacher education programs, the establishment of two-year technological programs in comprehensive universities (TPU) is the second wave of organizational expansion in Taiwan's higher education. The author addresses the process of the TPU's policy formation from the perspectives of organizational ecology in present article. Three main themes were discussed. Firstly, historical context of TPU formation and the enactment of correlated statutes were examined. Secondly, according to government statistics, the TPU expansion since 1996 was described. Finally, using data from a nationwide survey, we examine whether establishing TPU in comprehensive universities has any impacts on the technological and vocational education (TVE) which is composed of institutes of technology and universities of science and technology. Quantitative data provided by Taiwan Higher Education Data System and in-depth qualitative interviews were analyzed. It was found that private institutes/universities were much more active in setting up TPUs than in public universities. Comparing with �庁pgrading junior college�?and �堕stablishing teacher education programs�? the TPU expansion showed a very different pattern. The results showed that the whole process has deviated from the policy's original purpose: enhancing the quality of TVE system. Furthermore, the TPU expansion attracted numerous students to get admitted into comprehensive universities and consequently resulted in a squeeze effect on the admission rates of institutes of technology as well as universities of science and technology. Suggestions were provided for policy makers' reference.