Hey Jerry,
It works fine as a modem. The trick is to NOT make the PC a trusted device in the bluetooth settings on the phone. If you set up your pc as a trusted device, it will not authenticate the internet connection at Sprint. Somehow the login process bypasses the sprint authentication.
So:
Use your bluetooth 2.0 in your notebook to connect to the Instinct as a modem. Mine is set up as Com40
Don't enter a login or password in DUN on the PC. Just enter #777 as the dial-up number.
Dial
Enter the Bluetooth security code when prompted on the PC
Authorize the connection on the instinct then enter the same bluetooth security code you just entered on the pc (it doesn't matter what it is. I use 1234. It just has to match whatever you entered on the PC).
Presto - Internet!
-BayPally