That has to be a false rumor as compare that price to all other feature prices and all other carriers and no one except the stupid and rich, would go for that.
I just came from being an 8-year avid Win Mobile user and the 3G-S pushed me over the edge. Loving the phone. So much more productive than WinMobil crap (was using an HTC Fuze with WinMobile 6.5 ROM!). Never going back to Windows now. And with a quick search, was able to enable tethering on the phone and successfuly use it within 5 minutes. We'll see if AT&T recognizes it. I was tethering my WinMobile phones for years without paying the tethering charge, althought it was only occasionally - not like I was using my phone for my home Internet connection!