WordPress MU

Is it better to use subdomains (blog.domain.com) or subdirectory (domain.com/blog)?

Also, which one would be better for search engine?

MU prefers to use subdomains, and there are plugins out there that can't/won't/don't handle subdirectories.

Would either way make a difference to, say, google? If so, how so?

All my subdirs show in google that want to be shown.

I have a subdir install and I haven't found a plugin that doesn't work simply because of my choice of vhosts or not.

Same here...I have subdirectory instally on two sites and have had no problems with plugins because of this. Both sites work fine.

Steve

Nice to know. Maybe this is less of an issue now, than in the past.

I can't recall the specific plugins off the top of my head, but I remember quite a few threads about different plugins and working/not working in subdirectory mode.

I had a couple of plugins that didn't work with subdirectories - but to be honest that was just lazy programming on the part of the developer and each took only a couple of minutes to fix.