WordPress MU

Hi guys,
i'm amateur in wpmu, and i need some! help.

i've upload the downloaded "wpmu-unstable" on my server, rename it to "blogs", change its access permission to 777 and then i've run "/blogs/index-install.php", the following warning appeared:

"WPMU must be installed in the root directory of a domain, otherwise it won't work."

But i want to have my user blogs in the format below:

domain.com/blogs/name1
domain.com/blogs/name2

Is there any mistake with this?
Can i do that?

That information is out of date, you should have just tried it. It works fine now!

Bingo!
the latest nightly version has it all ;)
Thanks dear doncha ;)