I was going through some links today and I found an interesting page, http://blogs.law.harvard.edu/home/.
It seems Harvard Law is hosting Blogs off of a double Sub Domain. I came across a guy selling links on his 3 that he owns in a forum. What is interesting is the wording on the page that says, "Weblogs on our server are hosted within the harvard.edu domain" not that it wasn't already assumed that the blogs are hosted on the .edu domain but it is interesting that they mention that.
The sweetest part is if you make one it gets listed on this page, http://blogs.law.harvard.edu/home/list it is a PR 7 (with over 103k links coming to it according to yahoo) that links to each blog after it is created.
I'm not sure why they would do this, maybe they want more traffic and internet saturation, maybe they just want a lot of users coming to their site and blogging. Who knows, but they are already being sold in forums. Maybe they are thinking kids will do some good posts and get them dugg and tagged and all that, to try and increase their presence. I'm not really sure.
A couple of months ago I noticed another college doing this but it was free for anyone it didn't matter if you had the .edu email or not. Cameron showed me it has since been de-indexed. So who knows how this will be treated in Google.
I checked a couple and didn't find any with decent rankings, I quickly tried the mesothelioma blog (wasn't surprised to see that there) because I have a client that kills organic rankings for mesothelioma words and I hadn't noticed it in my regular searches. It wasn't anywhere in the top 10 pages, but was indexed and had a little pr so I could at least know it wasn't brand new. There may not be very much juice from this. In all the .edu link testing I have done it is all about the in context reference links from the non sub domains, especially not double sub domains that send the love.
I checked a bunch that were non keyword titles and I couldn't find anything ranking, maybe a little late, Google might have caught it first. I guess I don't need to start emailing students to hook me up :)