Wow, Blogger is new and now has lots of the great new Web 2.0 features that a blogging tool should have, including tags (they call them labels), the ability to host the blog on your own website URL, the ability to do more customizing of your blog template, etc.
The feature I like best right now, of course, is the tagging function -- which allows you the readers to find posts related to your interests (if, of course, I tag it correctly). The feature they are missing in this incarnation is the ability for you, the user, to tag my entries as well. Now, that would be a really great feature to allow more people to find the posts that would really interest them.
We'll see what more Google has in plans for Blogger, but the new incarnation is a great beginning.
If you haven't begun a blog yet, you might want to test out Blogger. It's free, and capable.
Note that Blogger blogs are hosted at blogspot.com.