Bilgediver
Member
Did you get the app from the market? If so it's terribly out of date and not as compatible. Try the one from my signature, also linked to here: Downloads - android-wifi-tether - Project Hosting on Google Code to see if it helps.
Are you sure your laptop can handle Ad-Hoc networking? It should, but there's always that possibility. Have you tried USB tethering?
What's interesting is that the latest build of Wireless Tether doesn't work for me. When I tried it it FC'd on me every time.
2.0.2 works like a charm for me, stable and runs great.