I would never recommend building a blog on someone elses domain, because then all of the backlinks that you earn will always belong to them. If I'm going to work that hard, I want to build the value of a domain that I actually own.
The Indian government ordered the Indian ISP's to block access to a whole bunch of domains, then they later reduced the list significantly. Unfortunately, the ISP's are having some difficulty implementing the requests made by the Indian government. It's easy to block IP address ranges in your routers, it's more difficult to block individual domains. It's quite difficult to block individual pages on a domain.
I've posted more on the Indian censorship issue at
India blocks access to blogspot, Geocities, and TypePad.