I to am tethering my iphone 3gs phone to my ipad 1, via bluetooth. I have the newest apple software on both, and no need to jailbreak. Just enable the Personal Hotspot on the iphone, and then connect the two devices with bluetooth. I found I have to use the ipad to connect to the iphone via bluetooth, not the other way around. I thought my ipad was basiclly an ebook until this came along, now it is my favorite travel companion.
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