A Personal Area Network, or PAN, is simply an ad hoc wireless network of Bluetooth-enabled devices. It is ad hoc because such devices do not connect through a router or central hub of any sort. Rather, they connect directly to each other. You might set up a Bluetooth PAN between iPhones for gaming purposes when there is no Wi-Fi. You can also pair an iPhone with a Bluetooth-enabled computer and share a network connection between the two. This is referred to as tethering, and typically you might share the 3G data connection of the iPhone with the computer, providing it Internet access.
Configure and enable a Bluetooth PAN on your computer. Under Mac OS X, this is done through Bluetooth Preferences. In Windows, you do this using the Bluetooth icon in the System Tray.
Open the Settings app on your iPhone by tapping it, and then select the "General" menu and "Bluetooth" from there.
Turn on Bluetooth on your iPhone by pushing the virtual toggle on the screen to the "On" position.
From your computer, pair with your iPhone using Blueooth. You will need to enter a passkey on the computer and then verify it on your iPhone. This is done under Bluetooth Preferences on a Mac and the Bluetooth icon in the System Tray in Windows or the Bluetooth Control Panel.
Look below under the "Devices" header for the name of a system in your Bluetooth PAN and check that the status reflects your iPhone is connected.
Position the Bluetooth devices within a few feet of each other for the best reception.
Bluetooth PAN profiles are not supported by first-generation iPhone or iPod Touch devices. You must have a newer model device to support connecting to a PAN.