Forum Moderators: Robert Charlton & goodroi
News flash from Las Vegas pubcon. Matt Cutts informed us that google will very soon begin treating subdomains and subdirectories the same in this fashion: there will be only 2 total urls from a domain in any set of search results, so no more getting 3, 4 or however many spots via subdomains.
[webmasterworld.com...]
And here's a link to Matt's own article about the topic [mattcutts.com]
A subdomain can be useful to separate out content that is completely different