WordPress MU

When i am trying to create a new blog ---After creation getting following errors.

When i browse new blog url....newblog.itechengine.com

Index of /
_vti_bin/
cgi-bin/
Apache/2.2.13 (Unix) mod_ssl/2.2.13 OpenSSL/0.9.8e-fips-rhel5 mod_auth_passthrough/2.1 mod_bwlimited/1.4 FrontPage/5.0.2.2635 mod_perl/2.0.4 Perl/v5.8.8 Server at newblog.itechengine.com Port 80

When i use Actication key...

Not Found
The requested URL /wp-activate.php was not found on this server.

Additionally, a 404 Not Found error was encountered while trying to use an ErrorDocument to handle the request.

--------------------------------------------------------------------------------

Apache/2.2.13 (Unix) mod_ssl/2.2.13 OpenSSL/0.9.8e-fips-rhel5 mod_auth_passthrough/2.1 mod_bwlimited/1.4 FrontPage/5.0.2.2635 mod_perl/2.0.4 Perl/v5.8.8 Server at newblog.itechengine.com Port 80

PLEASE HELP!

You missed the two steps in the readme about wildcard subdomains.

if my webhost is not allowing the wildcard dns setting what would be the possible solution, other than changing webhost ;)

subdirectory install instead of subdomains.

Thank you wpmuguru for your reply... I wanted to know what is the difference between subdomain and subdirectory install in terms of SEO and related things!