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Motorola Droid won’t support WiFi and USB Tethering with Froyo

One of the anticipated features of Froyo is the ability to create your own WiFi Hotspot. Unfortunately Motorola Droid users will not have this pocket MiFi or even USB tethering when they upgrade to Android 2.2 Froyo, which is to be released this week.

Verizon explained that the Droid lacks a WiFi transmitter and there’s no connection on the PC side as a reason. However some had opposed such explanation accusing Verizon of blocking users from using more data. It doesn’t make sense to blame on the hardware as users reported tethering works well with 3rd party apps such as EasyTether.

Since this is a telco-tied model, we wonder if Motorola Milestone in Malaysia faces the same limitation.