Indeed, but since you pay $25 a month already, it's really just $20 a month. Compare that to $15 for 200mb of data on the iPad and it's not looking that bad. Not to mention the extra $130 it costs to just get the radio in your iPad.

That's right. Add in the $15 for each month that I get a iPad data plan and the cost is even closer. I now only use the iPad data for 3-6 months per year so I'd have access to a far larger data plan for the whole year, for an additional $90 a year approximately. That leaves the connection speed as the largest unknown. In my situation, I live in the boondocks with only a crummy satellite internet access at $80/ month. If my hot spot connection could approach the internet connection I'd switch in a heartbeat. Unfortunately, at my home I also only have access to AT&T's EDGE network. Sigh. What to do. Anybody have info about hot spot connection speeds? Especially for more than one device simultaneously?

I don't pay $25/month... So not sure what you mean. I pay $15/month for the iPhone plan. With tethering, it would then be $60/month

With the 3G, the $130 is a one time fee

So, it would take about 7 months of the 1st year to pay for that chipset, then it's just 25/15 per month vs $45 per month

Oh, you are on the 200 plan. Yeah, that's a bit more of a difference, but where are you getting $60 from? If you are adding the $45 on top of your original $15 you don't need to. It's only $45 a month for 4GB of data AND tethering.

Still a lot, but if you only do it a couple months a year it'll easily save you money. Over the past year I have literally had no need for 3G on my iPad. I'll definitely be firing up the tethering plan once we head out on our next vacation though.

Ah ok, I thought it was in addition to your plan.

You do realize that apparently if you activate tethering while you have the unlimited plan, you will lose that unlimited plan.

Might want to call ATT and verify

Yup, that's what I've heard too.

The sales rep at ATT verified that you would lose the unlimited. I kept mine when I got the iPhone 4 because I thought it would come in handy when they added tethering. So much for that brilliant idea. I thought about adding the Hot Spot for the NCAA tournament since I don't have wireless at work.