According to Frank Barnako's "Internet Daily,"

Google's Blogger is hosting an estimated 8 million blogs, more than any of almost three dozen competing services. In second place is LiveJournal.com, with about 6.6 million accounts, according to research from Perseus Development Corp., a Web-based survey firm.

Jeffrey Henning, chief operating officer of Perseus, said that 31.6 million Web logs have been created on hosting services, and he expects that number to grow to 53.4 million by the end of the year. The survey was based on a review of 10,000 blogs.

Blogger has finally finished upgrading their equipment, by the way, and has been performing quite well lately. It appears they hadn't anticipated the success of the service.