Originally Posted by Steve-Hostirian
I must be misreading this, because I've not found this to be true.
Of course WP can be installed anywhere, but with using WP MU you must choose between 2 options during installation: subdomains and subfolders. I just said that WPMU can't map WP blogs, that it controls, on domains. But there is a plugin to make WPMU map new blogs to domains.
In my personal opinion, it's not worth it. If perhaps plugin loses the support you'll be stuck with big community of created blogs that can't be transferred to subdomains of subfolders.