How Tethering Works

• In March 2011, Apple upgraded its operating system to iOS 4.3, which must be running on your iPhone to enable Personal Hotspot ability on the iPhone 4. The feature is not available on previous iPhone models. You must have a hotspot tethering plan from your carrier. The connection is encrypted and password protected, so that those who are not invited cannot jump onto your connection. When you are using the Personal Hotspot, your phone must use its cellular connection. Tethering is also available for older models of the AT&T iPhones. With these phones, you can tether one piece of hardware using a Bluetooth or USB connection. The iPhone 4 supports Wi-Fi as well and can connect more than one device at a time.
  
  

AT&T Plan

• AT&T tethering allows you share your connection with up to five devices at once. You can connect up to three Wi-Fi equipped devices; another two components using Bluetooth of a USB connection. As of March 2011, the DataPro plan carries a $45 monthly fee for sharing 4GB of data between your phone and laptop. Overages bill at the rate of $10 per GB.
  
  

Verizon Plan

• When Verizon launched the inauguration of an iPhone 4 that could run on its system, with great fanfare, it was bundled with the Personal Hotspot feature. As of March 2011, the cost for the connection is $20 for 2GB of data. This fee is separate from the required data plan, which in March 2011 was $29.99 monthly for unlimited usage. The Verizon iPhone allows you to connect up to five devices via Wi-Fi. Tech review website CNET found that the tethering worked much faster on the Verizon phone than the AT&T model.
  
  

Setting Up Tethering

• When you are ready to start tethering your phone, contact your cellular provider and establish the necessary data plan addendum. Then go to Settings on your iPhone and tap "General" and then "Network". Tap the button titled "Personal Hotspot" to turn it on. You will not be able to do this if you have not contacted your provider to set up the service; you will get a message that says "Set Up Personal Hotspot." Once Personal Hotspot is on, enter a password and then choose whether you want to enable Bluetooth as well as USB and Wi-Fi tethering. The required password is preset, but may be changed at the user's discretion.