Verizon's version of the iPhone 4 includes software that enables it to share its cellular-wireless data connection with other computers. This feature is reportedly going to be a standard part of iOS 4.3, the next version of Apple's mobile operating system.
There are a number of high-end smartphones available that can act as mobile Wi-Fi hotspots... Verizon's iPhone is just the most recent of these to be announced.
According to an unconfirmed report, all iPhones might be getting this feature. But even if Apple creates this software, this doesn't automatically mean that AT&T subscribers will get to use it -- Apple added Bluetooth tethering capabilities to the iOS a very long time before AT&T implemented this feature.
On the other hand, AT&T now has competitive pressure from Verizon, which might force it to match its rival's device feature-for-feature.
Apple iOS 4.3 might debut in March.
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