The iPad can function as a router by creating a Wi-Fi network for up to five Wi-Fi-enabled devices. To use this personal hot spot feature, your iPad requires the iOS operating system 4.3 or later. You can set up and activate the personal hot spot feature directly from the iPad's main Settings menu.
Tap the "Settings" icon on your iPad
Select the "General" option.
Tap the "Network" button.
Tap the "Personal Hotspot" option
Move the "Personal Hotspot" switch to the "ON" position.
Tap the "Wi-Fi Password" button and enter the password for your iPad personal hot spot. Other devices will need this password to connect to your iPad router.
Press the Home button on your iPad to activate the router.