How can a masters student arrange to do a thesis in collaboration with industry? I have started a MS program in Computer Engineering. This is my first year and it is a 2 year program. I want to do a master thesis about Machine Learning (I have an artificial intelligence and genetic algorithms background from my MS but I can work on different topics within Machine Learning). 

I am interested in doing a thesis in collaboration with a company in industry. I'm hoping that working through a MS with them will increase the chance they consider me for a job after the end of the program.

Do companies ever publicize masters thesis proposals for students to work on with them?
From my experience, there do exist occasional Masters and PhD projects which are funded through industry grants; I personally interviewed for (but did not accept) a postdoctoral position based in a hospital funded by a medical device company. However, the position was not advertised as such, and the medical device company did not list this grant publicly. I suspect that any other similar positions (i.e., funded by industry) would not include this information in the advertisements.

I would suggest that you try a different tack. A number of companies will sponsor and pay for a masters degree once you've been working with them long enough. You may want to try talking to people in industry and finding whether you can take a job and then work towards your degree at a later point in time.