My iPhone 4 wont tether via WiFi or Bluetooth, after installing Lion

I have not had any problems tethering until after the Lion upgrade. I have tried WiFi and Bluetooth and it looks like Lion is dropping the connection attempts from the phone.
Bluetooth: I deleted the pairing on both iPhone and Macbook and redid the pairing. The PAN connects for a subsecond (green light) and then drops.
WiFi: I removed the phone wifi from known networks and rejoined but no luck. The iPhone thinks it has a valid connection but the Mac wireless connection symbol is a pair of overlapping circles. It appears that some protocols are getting through but many are not.
Nothing changed recently in firewall settings...
Puzzled,
Keith

Sorry, but downgrading the software is not supported by Apple.
Try to set up the phone as new device, as explained in this article:
How to erase your iOS device and then set it up as a new device or restore it from backups

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