Recent large surveys have established improved statistics of binarity and multiplicity of embedded low-mass stars, which not only have demonstrated the known excess of binaries among newborn stars, but also have uncovered a surprising excess of wide companions. A new set of extensive numerical N-body simulations of stellar embryos accreting from dense cloud cores have been able to reproduce the main features of the observations, and have uncovered a wide range of dynamical behaviors, which have unexpected connections to various poorly understood phenomena in early stellar evolution, including FUor eruptions and the formation of spectroscopic binaries.