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1. Yes, the tablet will use a T-Mobile sim card just fine (at least for data and the bands it supports). The only thing I had to do was add an APN for TMobile which you can find the instructions for on TMobile's website (search google for "T-Mobile APN"). 2. Does tethering work? I could not get tethering working. Verizon is coded into the software so it wants me to insert a Verizon sim and wants me to buy a plan to use the tethering.
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