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To install this, add the following repository to cydia: http://thebigboss.org/semitether. Note: after install, you will have to reboot your device, so make sure you are prepared at a computer to reboot tethered with redsn0w or just “home button out” of cydia and manually respring until you get home.

Big update to semitethered jailbreak today. v0.9.1 incorporates Saurik’s new mobile substrate. Thanks to Saurik, we are entirely rid of all the daemon patching – this means there’s no more daemon patching or restarting. Most the semi-tether work is now done by mobile substrate. The semitether package from the repository now protects your iOS 5 notification center plugins and gives you the option to patch mobile safari so that it will work on the non-jailbreak reboot mode. I’m still looking into patching mail, if possible.

Summary of changes:
1) Much more stable with new mobile substrate
2) Can patch safari so it works in the non-jailbreak reboot mode
3) App to monitor the status of your semitether and reapply. Check after cydia installs.
This new version will definitely solve all the flakiness problems we had in the past. However, be aware that this is a total rewrite of mobile substrate. Until this appears in a community source, you are beta testing so installing it is entirely at your own risk. As always, please report issues via email.
Also, with an update from MyWi author and Appsync team, we should be compatible with those, too.