“Yesterday, a $10 application from Nullriver [called “NetShare”] appeared in the iPhone Apps Store that allowed you to use the iPhone to access the Internet via 3G and share that connection through its Wi-Fi radio. It didn’t last long, however, before the powers that be at Apple squashed the application,” Eric Zeman reports for InformationWeek.

MacDailyNews Note: The app turns your iPhone into a Wi-Fi hotspot and allows your Wi-Fi-capable devices to access the Internet via your iPhone’s 3G and/or EDGE connection. App Store links to NetShare now generate an error message: “The item you’ve requested is not currently available in the [insert country name] store.”

“Ever so briefly, an application was available at the iPhone Apps Store that used the iPhone to bridge an Internet connection and a computer. In other words, a tethering app. It cost $10, and was offered by Nullriver,” Zeman reports. “NetShare used a SOCKS5 proxy to allow the computer to connect to the iPhone’s Wi-Fi radio. Excited users pounced, and began downloading the application. Even though Apple had to have approved that application at some point, it caught wind of what the app could really do, and yanked it from the store.”

Full article here.

MacRumors’ Arnold Kim reports that Nullriver said, “We’re not quite sure why Apple took down the application yet, we’ve received no communication from Apple thus far. NetShare did not violate any of the Developer or AppStore agreements. We’re hoping we’ll get some feedback from Apple tomorrow. Sorry to all the folks that couldn’t get it in time. We’ll do our best to try to get the application back onto the AppStore if at all possible. At the very least, I would hope Apple will allow it in countries where the provider does permit tethering.”

Full article here.

Engadget video: Tethering iPhone 3G via Nullriver Netshare:

Direct link to video here.

AT&T’s iPhone Terms and Conditions:
Prohibited and Permissible Uses: Data Service sessions may be conducted only for the following purposes: (i) Internet browsing; (ii) email; and (iii) corporate intranet access (including access to corporate email, customer relationship management, sales force automation, and field service automation applications). PROHIBITED USES INCLUDE, BUT ARE NOT LIMITED TO… UNLIMITED PLANS (EXCEPT FOR DATACONNECT AND BLACKBERRY TETHERED) CANNOT BE USED FOR ANY APPLICATIONS THAT TETHER THE DEVICE (THROUGH USE OF, INCLUDING WITHOUT LIMITATION, CONNECTION KITS, OTHER PHONE/PDA-TO-COMPUTER ACCESSORIES, BLUETOOTH® OR ANY OTHER WIRELESS TECHNOLOGY) TO LAPTOPS, PCS, OR OTHER EQUIPMENT FOR ANY PURPOSE.

Was anyone lucky enough to have grabbed it from the App Store yesterday?