diff --git a/paramiko/server.py b/paramiko/server.py
index 25924b6..03daba7 100644
--- a/paramiko/server.py
+++ b/paramiko/server.py
@@ -23,6 +23,7 @@ L{ServerInterface} is an interface to override for server support.
 """
 
 from common import *
+from transport import BaseTransport
 from auth_transport import Transport
 
 class ServerInterface (object):
@@ -229,7 +230,14 @@ class ServerInterface (object):
         through this channel will be assumed to be connected to the requested
         subsystem.  An example of a subsystem is C{sftp}.
 
-        The default implementation always returns C{False}.
+        The default implementation checks for a subsystem handler assigned via
+        L{Transport.set_subsystem_handler <BaseTransport.set_subsystem_handler>}.
+        If one has been set, the handler is invoked and this method returns
+        C{True}.  Otherwise it returns C{False}.
+
+        @note: Because the default implementation uses the L{Transport} to
+        identify valid subsystems, you probably won't need to override this
+        method.
 
         @param channel: the L{Channel} the pty request arrived on.
         @type channel: L{Channel}
@@ -239,7 +247,12 @@ class ServerInterface (object):
         subsystem; C{False} if that subsystem can't or won't be provided.
         @rtype: boolean
         """
-        return False
+        handler_class = channel.get_transport()._get_subsystem_handler(name)
+        if handler_class is None:
+            return False
+        handler = handler_class(channel, name)
+        handler.start()
+        return True
 
     def check_channel_window_change_request(self, channel, width, height, pixelwidth, pixelheight):
         """
diff --git a/paramiko/transport.py b/paramiko/transport.py
index 1548671..e017ac0 100644
--- a/paramiko/transport.py
+++ b/paramiko/transport.py
@@ -123,6 +123,72 @@ class SecurityOptions (object):
     kex = property(_get_kex, _set_kex, None, "Key exchange algorithms")
 
 
+class SubsystemHandler (threading.Thread):
+    """
+    Handler for a subsytem in server mode.  If you create a subclass of this
+    class and pass it to
+    L{Transport.set_subsystem_handler <BaseTransport.set_subsystem_handler>},
+    an object of this
+    class will be created for each request for this subsystem.  Each new object
+    will be executed within its own new thread by calling L{start_subsystem}.
+    When that method completes, the channel is closed.
+
+    For example, if you made a subclass C{MP3Handler} and registered it as the
+    handler for subsystem C{"mp3"}, then whenever a client has successfully
+    authenticated and requests subsytem C{"mp3"}, an object of class
+    C{MP3Handler} will be created, and L{start_subsystem} will be called on
+    it from a new thread.
+
+    @since: ivysaur
+    """
+    def __init__(self, channel, name):
+        threading.Thread.__init__(self, target=self._run)
+        self.__channel = channel
+        self.__transport = channel.get_transport()
+        self.__name = name
+
+    def _run(self):
+        try:
+            self.__transport._log(DEBUG, 'Starting handler for subsystem %s' % self.__name)
+            self.start_subsystem(self.__name, self.__transport, self.__channel)
+        except Exception, e:
+            self.__transport._log(ERROR, 'Exception in subsystem handler for "%s": %s' %
+                                  (self.__name, str(e)))
+            self.__transport._log(ERROR, util.tb_strings())
+        try:
+            self.__channel.close()
+        except:
+            pass
+
+    def start_subsystem(self, name, transport, channel):
+        """
+        Process an ssh subsystem in server mode.  This method is called on a
+        new object (and in a new thread) for each subsystem request.  It is
+        assumed that all subsystem logic will take place here, and when the
+        subsystem is finished, this method will return.  After this method
+        returns, the channel is closed.
+
+        The combination of C{transport} and C{channel} are unique; this handler
+        corresponds to exactly one L{Channel} on one L{Transport}.
+
+        @note: It is the responsibility of this method to exit if the
+        underlying L{Transport} is closed.  This can be done by checking
+        L{Transport.is_active <BaseTransport.is_active>} or noticing an EOF
+        on the L{Channel}.
+        If this method loops forever without checking for this case, your
+        python interpreter may refuse to exit because this thread will still
+        be running.
+
+        @param name: name of the requested subsystem.
+        @type name: str
+        @param transport: the server-mode L{Transport}.
+        @type transport: L{Transport}
+        @param channel: the channel associated with this subsystem request.
+        @type channel: L{Channel}
+        """
+        pass
+
+
 class BaseTransport (threading.Thread):
     """
     Handles protocol negotiation, key exchange, encryption, and the creation
@@ -258,6 +324,7 @@ class BaseTransport (threading.Thread):
         self.server_key_dict = { }
         self.server_accepts = [ ]
         self.server_accept_cv = threading.Condition(self.lock)
+        self.subsystem_table = { }
 
     def __repr__(self):
         """
@@ -779,6 +846,22 @@ class BaseTransport (threading.Thread):
 
         return
 
+    def set_subsystem_handler(self, name, handler):
+        """
+        Set the handler class for a subsystem in server mode.
+
+        @param name: name of the subsystem.
+        @type name: str
+        @param handler: subclass of L{SubsystemHandler} that handles this
+        subsystem.
+        @type handler: class
+        """
+        try:
+            self.lock.acquire()
+            self.subsystem_table[name] = handler
+        finally:
+            self.lock.release()
+
 
     ###  internals...
 
@@ -1456,6 +1539,15 @@ class BaseTransport (threading.Thread):
         lang = m.get_string()
         self._log(DEBUG, 'Debug msg: ' + util.safe_string(msg))
 
+    def _get_subsystem_handler(self, name):
+        try:
+            self.lock.acquire()
+            if not self.subsystem_table.has_key(name):
+                return None
+            return self.subsystem_table[name]
+        finally:
+            self.lock.release()
+
     _handler_table = {
         MSG_NEWKEYS: _parse_newkeys,
         MSG_GLOBAL_REQUEST: _parse_global_request,