The Defy has Android 2.2, so it should come with native tethering capability, but Motorola or Telus might have removed it. You'll find it in the Wireless and Networks menu within the phone's settings.
My telus desire has tethering capability since i got it from telus.. I see no reason why Telus would not allow it. You can hit and pass your bandwidth caps way faster this way... Tethering= mo muney fo Telus
Some prepaid plans, if not all of them, disable tethering.
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