Mobile Star Corp. Reported as First Israeli Company to Launch on OTC Bulletin Board in Over 1 Year

Israeli Financial Publication Calcalist Notes the First Public Trading of MBST Shares

EVEN YEHUDA, Israel, October 5 /PRNewswire-FirstCall/ -- Mobile Star Corp. (OTCBB: MBST - News), a developer of coin-operated karaoke vending machines, was covered in a recent report by the reputable Israeli financial publication Calcalist.

According to the report, Mobile Star Corp. was the first company with Israeli management to be taken public on the OTC Bulletin Board since the start of the major economic occurrences on Wall Street just over a year ago.

"We were happy to be covered by Calcalist, and are proud to be one of the companies associated with the steady rebounding of the Nasdaq," said Danny Elbaz, CEO of Mobile Star Corp.

The Calcalist report and a drawing of Mobile Star's free standing karaoke vending booth can be found here: http://www.calcalist.co.il/internet/articles/0,7340,L-3359838,00.html

The report noted Mobile Star's "interesting" and "exciting" product which is "new to the entertainment industry."

Mobile Star is currently completing development of an entertainment vending machine that provides a personal karaoke experience. The free-standing booth enables an individual to digitally record his or her voice singing to hundreds of songs. The unit then publishes a computerized disc featuring the singer's voice and the selected background music.

The patent-pending technology utilizes a proprietary digital-media software platform, and professional-grade hardware to dramatically improve sound quality and imitate the acoustics of a hall.

For more information on Mobile Star, please visit: http://the-mobilestar.com.

Forward-Looking Statements

This letter contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended. All forward-looking statements are inherently uncertain, based on current expectations and assumptions concerning future events or future performance of Mobile Star Corp., and its technologies. In evaluating such statements, prospective investors should review carefully various risks and uncertainties identified in this release, as actual results may differ materially from those indicated. Mobile Star Corp. public filings may be viewed at http://www.sec.gov.