WordPress MU

Hi, guys!

Here is what I want. As of now, I have existing Wordpress blog 2.7 installed on http:/example.com/blog
Now I want create/install blogs for:
1.) http://peter.example.com
2.) http://anna.example.com

How do I combine all of this into one Wordpress-MU?

Thanks,

Lost

You'll have to install WPMU in your root directory to get subdomains like that. If you installed WPMU into your /blogs, you would have peter.example.com/blogs.