[jordanb]

Tethering isn't a service though. The service is the data transfer. Tethering is a feature of the phone (which you own, especially if out of contract).

Here's a metaphor: Imagine if the water company charged you per gallon for water you used, but then added an additional charge for having a shower. Since you own plumbing fixtures to which the shower connects, and pay for every gallon, we would consider it unfair for the water company to charge extra for an "authorized" shower.

As far as theft of service, what on earth have you stolen? You pay for the data you transfer. Tethering is simply an "unauthorized" (by the vendor) use of that data.

[lutorm]

However, the water company will most definitely come looking for you if you start selling water to the neighboring town that has higher water prices, since then you are profiting from your subsidized water.

The real problem is that somehow the wireless companies, unlike residential ISPs, have gotten away with not being labeled as pure data transfer companies. It should be none of their business what data you send, but unfortunately that's not (legally) the case.

[dclowd9901]

The dumb pipe argument has been around for a couple years now. These companies (cable, satellite, telecom) absolutely do not want to become utilities. It limits their control over their product, and cuts off several high-yield revenue streams.

If they were regulated like a utility (water or electricity, for instance), you would see any and all arbitrary surcharges disappear, and these happen to be the biggest cash cows for these companies.

[hugh3]

You pay for the data you transfer. Tethering is simply an "unauthorized" (by the vendor) use of that data

Wait, does anyone charge a per-kilobyte data charge? I thought most plans either had unlimited data or some large cap.

[chris_j]

In the UK, most providers charge per-kilobyte. For example, I'm on a contract that gives me 1GB per month. Anything beyond that and I pay extra. It annoys me greatly that tethering isn't included in that (and costs a lot more), whether or not I use the 1GB that I've already paid for.