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Comment on How AT&T Recognizes Unauthorized Tethering from Jailbroken iPhones parent

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Can you avoid these issues by establishing an SSH or VPN tunnel through the 3G/4G connection?

Yep. Any non-root tethering app should just show the encrypted tunnel as a connection originating from the device itself. Just make sure that DNS requests don't leak when using an SSH tunnel. In fact, a simple port-forwarding app is all that's really necessary for most tunnel cases.

All of this makes a $6-$8/mo SSH/VPN privacy service (e.g., cotse.net) rather intriguing.

Most properly configured VPN service providers will reroute any DNS request traffic to their private NS servers (e.g., privateinternetaccess.com).

Another thing I'd like to mention is MPPE is not functioning in most Android builds, so don't rely on PPTP based VPNs on your phone - encryption won't work! Make sure your VPN service provider has IPSec/L2TP tunneling available.

Obviously root users should opt for OpenVPN. (e.g., cyanogenmod 7+)

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