It took a few rounds of testing to figure this out. In firefox when a new blog is created the confirmation email goes out without a problem. Create a new blog using IE7 and nothing happens.
First a few stats and then my questions... I am running MU 2.7.1 on hostpapa shared hosting. Wildcards are not supported so I used a sub-directory install. To date the only other issue has been with disabling sitewide plugins.
After reading all the related forum posts I could find, my understanding of the problem is that it is permissions related. I also understand that the fix was going to a different host(wish they had mentioned which host!). Is this the only way? Is there not some .htaccess trick that will provide a suitable work-around?
Thanks in advance.