Why is tethering provided by the phone company?

I am curious about why tethering is something that my service provider must allow (and charge for)? Surely if I pay for a data package the phone company doesn't care whether that data stays in the iPhone or if I route it to my PC?
Same as my ISP cannot decide whether I use a router or not?

Not even close.
Your phone company wants you to spend as much money as possible. They want you to buy a wireless data plan for your PC/Laptop. If you don't, and choose to tether for that, they are going to charge you to tether. They are completely not interested in your (mine/ours) convenience and "ability" to use this feature. It's about charging as much as they can wherever they can.
It's always been like that with tethering, at least here in the US with ATT on all smartphone -- and by extention Rogers in Canada which is owned by ATT.

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