yep and it's not really new to the iphone either. The technical capability and sw have existed since I think the iphone 3. It just requires a carrier that is not AT&T or jail breaking the phone. Internet tethering is even an option in the menus for my iphone 3gs (and has been for as long as I have had it), but you had to go pay a lot more to AT&T to enable it.

Never understood why since I have an unlimited data plan. Maybe more carriers will continue to improve the competitive landscape.

- Eric