What does the term 'tethering' in cellular networking refer to?

The term 'tethering' in cellular networking refers to the process of transforming your phone into a router so that it can share its mobile data connection with other devices, such as a laptop or tablet. This allows other devices to access the internet by utilizing the cellular data capabilities of the smartphone. Essentially, tethering creates a local area network using the mobile device's data plan, providing internet access to devices that do not have their own cellular connectivity.

This functionality is particularly useful in situations where Wi-Fi networks are unavailable, allowing users to remain connected to the internet on multiple devices while on the go. Different methods of tethering include USB tethering, Bluetooth tethering, and mobile hotspot features, each allowing for varying levels of performance and convenience.

The other answer choices reflect different concepts that do not align with the specific definition of tethering. Setting up a dedicated cellular tower relates to infrastructure rather than individual device connectivity. Connecting directly to a satellite pertains to satellite internet technology and not mobile data sharing. Extending the cellular range to remote areas involves infrastructure improvements and does not encompass the feature of sharing existing data connectivity provided by a mobile device.