I do that. Says no network avalable.
Now with Gingerbread you can also USB tether. They took that out of 2.2 (Verizon may have made Moto do it, who knows..) but it's there with 2.3. Also when you put the phone in PC Mode windows update will install the modem driver and other network drivers, so no need to use the VZAccess software (doesn't Support X, so before this since there was no built in USB tether, you couldn't officially do it).