I want to start a site where people can come and blog kinda like blogger or wordpress but to a certain niche. I want to set it up such that a user can come to the main site, sign up, get their own blog and start blogging. IE. go to domain.com, get a blog called coolblogname.domain.com, and start blogging. Is there a script for this? I know how to blog and do individual blogs, but I wanted a one stop place for my friends and I to connect.
I'd say WordPress would be your best candidate. It's how Wordpress.com works. And it's free. Can't beat the pricetag.
Right, I'm saying you want to look at setting up wordpress mu on your server. http://mu.wordpress.org - can't make it live, yet. That is the script that wordpress.com uses to allow many users to create their own blogs on wordpress.com. With it, you can allow users to sign up and create their own blog at your site.