Isn't there a sticky somewhere on the fictional 5 gig limit? Here we go again.
() There is no 5 gig limit on data downloads/uploads on the Droid. The "unlimited" provision in your $29.95 data plan means exactly that.
() There IS a 5 gig limit on another data plan called "broadband access" that is used for modem devices that access the Verizon 3G network. I have such a plan with a netbook.
() You are not supposed to "tether" your Droid to a computer and use it as a modem. To do so is a technical violation of your service agreement. By the same token, if you are not using your Droid as the primary means to connect your computer to the internet there is very little chance (and no confirmed examples of) Verizon sanctioning you for doing so.
() You do NOT have to root your phone to "tether" it and use it as a modem. PDAnet works just fine for unrooted phones. If you plan to tether your droid on a frequent basis and/or want to be sure you can access all kinds of internet sites, skip a few lattes and buy the paid version.
P.S. If there is a sticky on this frequently asked question, someone point to it, please.
Correct on all points. I forgot about PDAnet. I think there is a free and paid version of that, or a 30 day demo? And I forget if it is only tethering via usb or if it does so wirelessly like the rooted wifi-tether does.