Although this 'legacy' setting traditionally applied to the use of Internet Connection Sharing (ICS) in Windows 2000, Windows XP & Server 2003, this setting now freshly applies to the Mobile Hotspot feature in Windows 10 & Server 2016. The recommended state for this setting is: Enabled. Rationale: Non-administrators should not be able to turn on the Mobile Hotspot feature and open their Internet connectivity up to nearby mobile devices. Impact: Mobile Hotspot cannot be enabled or configured by Administrators and non-Administrators alike.
Solution
To establish the recommended configuration via GP, set the following UI path to Enabled: Computer Configuration\Policies\Administrative Templates\Network\Network Connections\Prohibit use of Internet Connection Sharing on your DNS domain network Note: This Group Policy path is provided by the Group Policy template NetworkConnections.admx/adml that is included with all versions of the Microsoft Windows Administrative Templates. Default Value: Disabled. (All users are allowed to turn on Mobile Hotspot.)