**U.S.      Securities and Exchange Commission **

**Washington,      D.C. 20549 **

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**FORM      10-QSB**

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**[X]      QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT**
**OF      1934 **

**[      ] TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE**
**ACT      OF 1934 **

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**CHINA      MOBILITY SOLUTIONS, INC.**

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|  **Florida**                                                                                       | ** 330-751560**                                         |
|---------------------------------------------------------------------------------------------------------|--------------------------------------------------------------|
|  (State                or other jurisdiction of incorporation or                organization) |   (IRS                Employer Identification No.) |

**#900      - 789 West Pender Street, Vancouver, B.C., Canada V6C 1H2**

**(604)      632-9638**

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**        Yes [x] No [ ] **

**Yes        [ ] No [x]**

**20,011,792        **
**shares        of common stock, par value $0.001 per share, outstanding as of August 7,        2006.**

----

| **INDEX                  TO FORM 10-QSB**                                                                                                                            |                      |
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------|---------------------------|
|                                                                                                                                                                 | Page                  No. |
|                                                                                                                                                                 |                      |
| PART                  I                                                                                                                                              |                      |
|                                                                                                                                                                 |                      |
| Item                  1. Financial                  Statements                                                                                                  | 3                         |
|                                                                                                                                                                 |                      |
| Consolidated                  Balance Sheet - June 30, 2006                  (unaudited) and December 31, 2005                                                  | 4                         |
|                                                                                                                                                                 |                      |
| Consolidated                  Statements of Operations - Six Months and                  Three Months Ended June 30, 2006 and 2005                  (unaudited) | 5                         |
|                                                                                                                                                                 |                      |
| Consolidated                  Statements of Stockholders’ Equity -                  for the Period from December 31, 2004 to June 30, 2006                | 6                         |
|                                                                                                                                                                 |                      |
| Consolidated                  Statements of Cash Flows - Six Months                  Ended June 30, 2006 and 2005 (unaudited)                              | 7                         |
|                                                                                                                                                                 |                      |
| Consolidated                  Statements of Deficit - Six Months and Three                  Months Ended June 30, 2006 and 2005                                      | 8                         |
|                                                                                                                                                                 |                      |
| Notes                  to Consolidated Financial Statements                  (unaudited)                                                                             | 9-13                      |
|                                                                                                                                                                 |                      |
| Item                  2. Management's                  Discussion and Analysis of Financial Condition and Results of                  Operation            | 14                        |
|                                                                                                                                                                 |                      |
| Item                  3. Controls                  and Procedures                                                                                               | 17                        |
|                                                                                                                                                                 |                      |
| PART                  II                                                                                                                                             |                      |
|                                                                                                                                                                 |                      |
| Item                  1. Legal                  Proceedings                                                                                                     | 18                        |
|                                                                                                                                                                 |                      |
| Item                  2. Unregistered                  Sales of Equity Securities and Use of Proceeds                                                           | 18                        |
|                                                                                                                                                                 |                      |
| Item                  3. Defaults                  Upon Senior Securities                                                                                       | 19                        |
|                                                                                                                                                                 |                      |
| Item                  4. Submission                  of Matters to a Vote of Security Holders                                                                   | 19                        |
|                                                                                                                                                                 |                      |
| Item                  5. Other                  Information                                                                                                     | 19                        |
|                                                                                                                                                                 |                      |
| Item                  6. Exhibits                  and Reports on Form 8-K                                                                                      | 19                        |
|                                                                                                                                                                 |                      |
| Signature                  Pages                                                                                                                                     | 20                        |

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*Index*

**Item        1. Financial Statements**

----

*Index*

| **CHINA                      MOBILITY SOLUTIONS, INC. AND                      SUBSIDIARIES**                                                           |   |         |   |         |
|---------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------------|--------|--------------|
| **CONSOLIDATED                      BALANCE SHEETS**                                                                                                    |   |         |   |         |
| **June                      30, 2006 and December 31, 2005**                                                                                            |   |         |   |         |
|                                                                                                                                                    |   |         |   |         |
| **Stated                      in U.S. dollars**                                                                                                         |   | **2006**     |   | **2005**     |
|                                                                                                                                                    |   | (Unaudited)  |   | (Audited)    |
| **ASSETS**                                                                                                                                              |   |         |   |         |
|                                                                                                                                                    |   |         |   |         |
| **Current                      Assets**                                                                                                                 |   |         |   |         |
| Cash                      and Cash Equivalents                                                                                                          | $      | 5,853,669    | $      | 6,138,609    |
| Accounts                      receivable                                                                                                                |   | 4,287        |   | 5,870        |
| Prepaid                      Expenses and Other Current Assets                                                                                          |   | 40,735       |   | 235,165      |
| Amount                      due from related parties                                                                                                    |   | 34,474       |   | 33,249       |
|                                                                                                                                                    |   |         |   |         |
| **Total                      Current Assets**                                                                                                           |   | 5,933,165    |   | 6,412,893    |
|                                                                                                                                                    |   |         |   |         |
| **Investment**                                                                                                                                          |   | 1            |   | 1            |
| **Property                      and Equipment, Net (Note 2)**                                                                                           |   | 7,322        |   | 6,248        |
| **Goodwill**                                                                                                                                            |   | 4,802,520    |   | 4,802,520    |
| **Other                      assets**                                                                                                                   |   | 684          |   | 701          |
|                                                                                                                                                    |   |         |   |         |
| **Total                      Assets**                                                                                                                   | $      | 10,743,692   | $      | 11,222,363   |
|                                                                                                                                                    |   |         |   |         |
| **LIABILITIES                      AND STOCKHOLDERS' EQUITY**                                                                                           |   |         |   |         |
|                                                                                                                                                    |   |         |   |         |
| **Current                      Liabilities**                                                                                                            |   |         |   |         |
| Accounts                      Payable and Other Accrued Liabilities                                                                                     | $      | 549,042      | $      | 362,013      |
| Deferred                      Revenue                                                                                                                   |   | 2,559,362    |   | 3,053,282    |
| Convertible                      Debentures (Note 3)                                                                                                    |   | 3,350,000    |   | 3,350,000    |
|                                                                                                                                                    |   |         |   |         |
| **Total                      Current Liabilities**                                                                                                      |   | 6,458,404    |   | 6,765,295    |
|                                                                                                                                                    |   |         |   |         |
| **Stockholders'                      Equity**                                                                                                           |   |         |   |         |
| Common                      Stock : $0.001 Par Value                                                                                                    |   |         |   |         |
| Authorized                      : 500,000,000 common shares                                                                                             |   |         |   |         |
| Issued                      and Outstanding : 20,011,792 shares (2005: 20,011,792                      shares)                                          |   | 20,012       |   | 20,012       |
| Additional                      Paid In Capital                                                                                                         |   | 18,492,826   |   | 18,442,826   |
| Accumulated                      Deficit                                                                                                                |   | (14,004,356) |   | (13,804,409) |
| Accumulated                      Other Comprehensive Loss                                                                                               |   | (223,194)    |   | (201,361)    |
|                                                                                                                                                    |   |         |   |         |
| **Total                      Stockholders' Equity**                                                                                                     |   | 4,285,288    |   | 4,457,068    |
|                                                                                                                                                    |   |         |   |         |
| **Total                      Liabilities and Stockholders' Equity**                                                                                     | $      | 10,743,692   | $      | 11,222,363   |
|                                                                                                                                                    |   |         |   |         |
|                                                                                                                                                    |   |         |   |         |
| (The                      accompanying notes are an integral part of these consolidated                      financial                      statements) |

----

*Index*

| **CHINA                    MOBILITY SOLUTIONS, INC. AND                    SUBSIDIARIES**                                                         |   |                                      |   |                                    |   |                            |   |                            |
|---------------------------------------------------------------------------------------------------------------------------------------------------|--------|-------------------------------------------|--------|-----------------------------------------|--------|---------------------------------|--------|---------------------------------|
| **CONSOLIDATED                    STATEMENTS OF OPERATIONS**                                                                                      |   |                                      |   |                                    |   |                            |   |                            |
| **For                    the six months and three months ended June 30, 2006 AND                    2005**                                        |   |                                      |   |                                    |   |                            |   |                            |
| (Unaudited)                                                                                                                                       |   |                                      |   |                                    |   |                            |   |                            |
|                                                                                                                                              |   |                                      |   |                                    |   |                            |   |                            |
|                                                                                                                                              |   | **Three                    months ended** |   | **Six                    months ended** |
|                                                                                                                                              |   | **June                    30,**           |   | **June                    30,**         |   | **June                    30,** |   | **June                    30,** |
| **Stated                    in U.S. dollars**                                                                                                     |   | **2006**                                  |   | **2005**                                |   | **2006**                        |   | **2005**                        |
|                                                                                                                                              |   |                                      |   |                                    |   |                            |   |                            |
| **Revenue**                                                                                                                                       |   |                                      |   |                                    |   |                            |   |                            |
| Mobile                    marketing services                                                                                                      | $      | 1,451,107                                 | $      | 1,131,988                               | $      | 2,892,024                       | $      | 2,186,501                       |
| Tuition                    fee                                                                                                                    |   | 10,263                                    |   | 32,630                                  |   | 29,290                          |   | 107,308                         |
|                                                                                                                                              |   | 1,461,370                                 |   | 1,164,618                               |   | 2,921,314                       |   | 2,293,809                       |
| **Cost                    of revenue**                                                                                                            |   |                                      |   |                                    |   |                            |   |                            |
| Mobile                    marketing services                                                                                                      |   | 304,336                                   |   | 310,925                                 |   | 596,169                         |   | 534,470                         |
| Tuition                    fee                                                                                                                    |   | 2,260                                     |   | 16,579                                  |   | 6,892                           |   | 27,018                          |
|                                                                                                                                              |   | 306,596                                   |   | 327,504                                 |   | 603,061                         |   | 561,488                         |
|                                                                                                                                              |   |                                      |   |                                    |   |                            |   |                            |
| **Gross                    profit**                                                                                                               |   | 1,154,774                                 |   | 837,114                                 |   | 2,318,253                       |   | 1,732,321                       |
|                                                                                                                                              |   |                                      |   |                                    |   |                            |   |                            |
| **Expenses**                                                                                                                                      |   |                                      |   |                                    |   |                            |   |                            |
| Advertising                    and promotion                                                                                                      |   | 156,163                                   |   | 268,112                                 |   | 355,334                         |   | 409,432                         |
| Consulting                    and professional                                                                                                    |   | 177,569                                   |   | 11,529                                  |   | 267,548                         |   | 27,685                          |
| Depreciation                                                                                                                                      |   | 749                                       |   | 576                                     |   | 1,360                           |   | 1,168                           |
| Foreign                    exchange loss (gain)                                                                                                   |   | (31,416)                                  |   | 1,016                                   |   | (32,726)                        |   | 4,594                           |
| General                    and administrative                                                                                                     |   | 45,961                                    |   | 32,576                                  |   | 82,235                          |   | 56,893                          |
| Interest                    expense                                                                                                               |   | 64,618                                    |   | -                                       |   | 118,930                         |   | -                               |
| Investor                    relations                                                                                                             |   | 146,850                                   |   | 87,825                                  |   | 234,675                         |   | 87,825                          |
| Liquidated                    damages                                                                                                             |   | 201,000                                   |   | -                                       |   | 402,000                         |   | -                               |
| Rent                                                                                                                                              |   | 287,268                                   |   | 171,334                                 |   | 523,181                         |   | 329,949                         |
| Salaries,                    wages and sub-contract                                                                                               |   | 272,295                                   |   | 389,569                                 |   | 614,156                         |   | 690,152                         |
| Website                    development                                                                                                            |   | -                                         |   | -                                       |   | -                               |   | 80,000                          |
|                                                                                                                                              |   | 1,321,057                                 |   | 962,537                                 |   | 2,566,693                       |   | 1,687,698                       |
|                                                                                                                                              |   |                                      |   |                                    |   |                            |   |                            |
| **Operating                    Income (Loss)**                                                                                                    |   | (166,283)                                 |   | (125,423)                               |   | (248,440)                       |   | 44,623                          |
|                                                                                                                                              |   |                                      |   |                                    |   |                            |   |                            |
| **Other                    Income**                                                                                                               |   |                                      |   |                                    |   |                            |   |                            |
| Interest                    income                                                                                                                |   | 23,935                                    |   | 19,172                                  |   | 48,493                          |   | 36,414                          |
| Other                    income                                                                                                                   |   | -                                         |   | 19                                      |   | -                               |   | 19                              |
|                                                                                                                                              |   | 23,935                                    |   | 19,191                                  |   | 48,493                          |   | 36,433                          |
|                                                                                                                                              |   |                                      |   |                                    |   |                            |   |                            |
| **Income                    (Loss) before minority interest**                                                                                     |   | (142,348)                                 |   | (106,232)                               |   | (199,947)                       |   | 81,056                          |
|                                                                                                                                              |   |                                      |   |                                    |   |                            |   |                            |
| **Minority                    interest**                                                                                                          |   | -                                         |   | (5,781)                                 |   | -                               |   | (132,328)                       |
|                                                                                                                                              |   |                                      |   |                                    |   |                            |   |                            |
| **Net                    Loss Available to Common Stockholders**                                                                                  |   | $                    (142,348)            |   | $                    (112,013)          |   | $                    (199,947)  |   | $                    (51,272)   |
|                                                                                                                                              |   |                                      |   |                                    |   |                            |   |                            |
|                                                                                                                                              |   |                                      |   |                                    |   |                            |   |                            |
| **Earnings                    (loss) per share attributable to common                    stockholders:**                                          |   |                                      |   |                                    |   |                            |   |                            |
| Basic                    and diluted                                                                                                              |   | $                    (0.01)               |   | $                    (0.01)             |   | $                    (0.01)     |   | $                    (0.00)     |
|                                                                                                                                              |   |                                      |   |                                    |   |                            |   |                            |
| **Weighted                    average number of common shares outstanding:**                                                                      |   |                                      |   |                                    |   |                            |   |                            |
| Basic                    and diluted                                                                                                              |   | 20,011,792                                |   | 16,921,670                              |   | 20,011,792                      |   | 16,522,057                      |
|                                                                                                                                              |   |                                      |   |                                    |   |                            |   |                            |
|                                                                                                                                              |   |                                      |   |                                    |   |                            |   |                            |
|                                                                                                                                              |   |                                      |   |                                    |   |                            |   |                            |
| (The                    accompanying notes are an integral part of these consolidated                    financial                    statements) |

----

*Index*

| **CHINA                    MOBILITY SOLUTIONS, INC. AND                    SUBSIDIARIES**                                                         |       |                             |                            |                              |                                 |                           |                           |
|---------------------------------------------------------------------------------------------------------------------------------------------------|------------|----------------------------------|---------------------------------|-----------------------------------|--------------------------------------|--------------------------------|--------------------------------|
| **CONSOLIDATED                    STATEMENT OF STOCKHOLDERS' EQUITY**                                                                             |       |                             |                            |                              |                                 |                           |                           |
| **for                    the period from December 31, 2004 to June 30,                    2006**                                                  |       |                             |                            |                              |                                 |                           |                           |
| (Unaudited)                                                                                                                                       |       |                             |                            |                              |                                 |                           |                           |
|                                                                                                                                              |       |                             |                            |                              |                                 |                           |                           |
|                                                                                                                                              |       |                             |                            |                              |                                 | **Accumulated**                |                           |
|                                                                                                                                              |       | **Stock**                        | **Additional**                  |                              |                                 | **Other**                      |                           |
|                                                                                                                                              | **Common** | **Amount                    At** | **Paid                    In**  | **Accumulated**                   | **Comprehensive**                    | **Comprehensive**              |                           |
| **Stated                    in U.S. dollars**                                                                                                     | **Shares** | **Par                    Value** | **Capital**                     | **Deficit**                       | **Income                    (Loss)** | **Loss**                       | **Total**                      |
|                                                                                                                                              |       |                             |                            |                              |                                 |                           |                           |
| Balance,                    December 31, 2004                                                                                                     | 15,826,792 | $                    15,827      | $                    8,770,378  | $                    (4,640,956)  | $                    -               | $                    (183,532) | $                    3,961,717 |
|                                                                                                                                              |       |                             |                            |                              |                                 |                           |                           |
| Issuance                    of common stock for cash on                                                                                           |       |                             |                            |                              |                                 |                           |                           |
| exercised                    of stock options on February                                                                                         |       |                             |                            |                              |                                 |                           |                           |
| 24,                    2005 @$0.30                                                                                                                | 495,000    | 495                              | 148,005                         |                              |                                 |                           | 148,500                        |
|                                                                                                                                              |       |                             |                            |                              |                                 |                           |                           |
| Issuance                    of common stock for services                                                                                          |       |                             |                            |                              |                                 |                           |                           |
| rendered                                                                                                                                          | 600,000    | 600                              | 350,700                         |                              |                                 |                           | 351,300                        |
|                                                                                                                                              |       |                             |                            |                              |                                 |                           |                           |
| Issuance                    of common stock for cash on                                                                                           |       |                             |                            |                              |                                 |                           |                           |
| exercised                    of stock options on September                                                                                        |       |                             |                            |                              |                                 |                           |                           |
| 1,                    2005 @$0.40                                                                                                                 | 500,000    | 500                              | 199,500                         |                              |                                 |                           | 200,000                        |
|                                                                                                                                              |       |                             |                            |                              |                                 |                           |                           |
| Issuance                    of common stock for cash on                                                                                           |       |                             |                            |                              |                                 |                           |                           |
| exercised                    of stock options on September                                                                                        |       |                             |                            |                              |                                 |                           |                           |
| 1,                    2005 @$0.35                                                                                                                 | 2,590,000  | 2,590                            | 903,910                         |                              |                                 |                           | 906,500                        |
|                                                                                                                                              |       |                             |                            |                              |                                 |                           |                           |
| Stock-based                    compensation                                                                                                       |       |                             | 126,000                         |                              |                                 |                           | 126,000                        |
|                                                                                                                                              |       |                             |                            |                              |                                 |                           |                           |
| Fair                    value of new Series 'A' warrants issued                                                                                   |       |                             | 3,254,305                       |                              |                                 |                           | 3,254,305                      |
|                                                                                                                                              |       |                             |                            |                              |                                 |                           |                           |
| Fair                    value of new Series 'B' warrants issued                                                                                   |       |                             | 3,637,165                       |                              |                                 |                           | 3,637,165                      |
|                                                                                                                                              |       |                             |                            |                              |                                 |                           |                           |
| Intrinsic                    value of the conversion feature of the                                                                               |       |                             |                            |                              |                                 |                           |                           |
| convertible                    debenture                                                                                                          |       |                             | 1,052,863                       |                              |                                 |                           | 1,052,863                      |
|                                                                                                                                              |       |                             |                            |                              |                                 |                           |                           |
| Net                    loss for the year ended                                                                                                    |       |                             |                            |                              |                                 |                           |                           |
| December                    31, 2005                                                                                                              |       |                             |                            | (9,163,453)                       | (9,163,453)                          |                           | (9,163,453)                    |
|                                                                                                                                              |       |                             |                            |                              |                                 |                           |                           |
| Foreign                    currency translation adjustments                                                                                       |       |                             |                            |                              | (17,829)                             | (17,829)                       | (17,829)                       |
|                                                                                                                                              |       |                             |                            |                              |                                 |                           |                           |
| Total                    comprehensive loss                                                                                                       |       |                             |                            |                              | $                    (9,181,282)     |                           |                           |
|                                                                                                                                              |       |                             |                            |                              |                                 |                           |                           |
| Balance,                    December 31, 2005                                                                                                     | 20,011,792 | $                    20,012      | $                    18,442,826 | $                    (13,804,409) |                                 | $                    (201,361) | $                    4,457,068 |
|                                                                                                                                              |       |                             |                            |                              |                                 |                           |                           |
| Fair                    value of 200,000 warrants issued for services                                                                             |       |                             |                            |                              |                                 |                           |                           |
| rendered                                                                                                                                          |       |                             | 50,000                          |                              |                                 |                           | 50,000                         |
|                                                                                                                                              |       |                             |                            |                              |                                 |                           |                           |
| Net                    loss for the six months ended                                                                                              |       |                             |                            |                              |                                 |                           |                           |
| June                    30, 2006                                                                                                                  |       |                             |                            | (199,947)                         | (199,947)                            |                           | (199,947)                      |
|                                                                                                                                              |       |                             |                            |                              |                                 |                           |                           |
| Foreign                    currency translation adjustments                                                                                       |       |                             |                            |                              | (21,833)                             | $                    (21,833)  | (21,833)                       |
|                                                                                                                                              |       |                             |                            |                              |                                 |                           |                           |
| Total                    comprehensive loss                                                                                                       |       |                             |                            |                              | $                    (221,780)       |                           |                           |
|                                                                                                                                              |       |                             |                            |                              |                                 |                           |                           |
| Balance,                    June 30, 2006                                                                                                         | 20,011,792 | $                    20,012      | $                    18,492,826 | $                    (14,004,356) |                                 | $                    (223,194) | $                    4,285,288 |
|                                                                                                                                              |       |                             |                            |                              |                                 |                           |                           |
|                                                                                                                                              |       |                             |                            |                              |                                 |                           |                           |
| (The                    accompanying notes are an integral part of these consolidated                    financial                    statements) |

*Index*

| **CHINA                          MOBILITY SOLUTIONS, INC. AND                          SUBSIDIARIES**                                                               |   |                                 |   |                                 |
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------------------------------------|--------|--------------------------------------|
| **CONSOLIDATED                          STATEMENTS OF CASH FLOWS**                                                                                                  |   |                                 |   |                                 |
| **For                          the six months ended June 30, 2006 and 2005**                                                                                        |   |                                 |   |                                 |
| (Unaudited)                                                                                                                                                         |   |                                 |   |                                 |
|                                                                                                                                                                |   |                                 |   |                                 |
| **Stated                          in U.S. dollars**                                                                                                                 |   | **2006**                             |   | **2005**                             |
|                                                                                                                                                                |   |                                 |   |                                 |
| **Cash                          flows from operating activities**                                                                                                   |   |                                 |   |                                 |
| Net                          loss                                                                                                                                   |   | $                          (199,947) |   | $                          (51,272)  |
| Adjustments                          to reconcile net loss to net cash                                                                                              |   |                                 |   |                                 |
| Provided                          by (Used in) operating activities                                                                                                 |   |                                 |   |                                 |
| Depreciation                          and amortization                                                                                                              |   | 1,360                                |   | 1,168                                |
| Interest                          expenses on intrinsic value of the convertible debenture                                                                          |   | -                                    |   | -                                    |
| Translation                          adjustments                                                                                                                    |   | (21,833)                             |   | 4,954                                |
| Minority                          interest                                                                                                                          |   | -                                    |   | 132,328                              |
| Non-cash                          operating expenses                                                                                                                |   | 50,000                               |   | 87,825                               |
| Changes                          in assets and liabilities                                                                                                          |   |                                 |   |                                 |
| (Increase)Decrease                          in accounts receivable                                                                                                  |   | 1,583                                |   | 15,267                               |
| (Increase)Decrease                          in prepaid expenses and other current assets                                                                            |   | 194,429                              |   | (24,867)                             |
| (Increase)                          Decrease in amount due from (to) related parties                                                                                |   | (1,225)                              |   | 127,887                              |
| Increase                          (Decrease) in accounts payable                                                                                                    |   | 187,029                              |   | (44,458)                             |
| Increase                          (Decrease) in deferred revenue                                                                                                    |   | (493,920)                            |   | 65,828                               |
| Net                          cash provided by (used in) operating activities                                                                                        |   | (282,524)                            |   | 314,660                              |
|                                                                                                                                                                |   |                                 |   |                                 |
| **Cash                          flows from investing activities**                                                                                                   |   |                                 |   |                                 |
| Purchases                          of property and equipment                                                                                                        |   | (2,416)                              |   | -                                    |
|                                                                                                                                                                |   | (2,416)                              |   | -                                    |
|                                                                                                                                                                |   |                                 |   |                                 |
| **Cash                          flows from financing activities**                                                                                                   |   |                                 |   |                                 |
| Issuance                          of common stock for cash                                                                                                          |   | -                                    |   | 148,500                              |
| Net                          cash flows provided by financing activities                                                                                            |   | -                                    |   | 148,500                              |
|                                                                                                                                                                |   |                                 |   |                                 |
| **Increase                          (Decrease) in cash and cash equivalents**                                                                                       |   | (284,940)                            |   | 463,160                              |
|                                                                                                                                                                |   |                                 |   |                                 |
| **Cash                          and cash equivalents - beginning of period**                                                                                        |   | 6,138,609                            |   | 5,380,622                            |
|                                                                                                                                                                |   |                                 |   |                                 |
| **Cash                          and cash equivalents - end of period**                                                                                              |   | $                          5,853,669 |   | $                          5,843,782 |
|                                                                                                                                                                |   |                                 |   |                                 |
| Supplemental                          Information :                                                                                                                 |   |                                 |   |                                 |
| Cash                          paid for :                                                                                                                            |   |                                 |   |                                 |
| Interest                                                                                                                                                            |   | $                          115,008   |   | $                          2         |
| Income                          taxes                                                                                                                               |   | -                                    |   | -                                    |
|                                                                                                                                                                |   |                                 |   |                                 |
| Non-cash                          investment:                                                                                                                       |   |                                 |   |                                 |
| Issuance                          of 2,040,000 common shares for the acquisition of Quicknet                                                                        |   | $                          -         |   | $                          -         |
| Issuance                          of 600,000 common shares for services rendered                                                                                    |   | -                                    |   | 351,300                              |
| Fair                          value of 200,000 warrants issued for services rendered                                                                                |   | 50,000                               |   | -                                    |
|                                                                                                                                                                |   |                                 |   |                                 |
|                                                                                                                                                                |   |                                 |   |                                 |
| (The                          accompanying notes are an integral part of these consolidated                          financial                          statements) |

----

*Index*

| **CHINA                              MOBILITY SOLUTIONS,                              INC. AND                              SUBSIDIARIES**                  |   |                                                |   |                                              |   |                                        |   |                                       |
|-------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|-----------------------------------------------------|--------|---------------------------------------------------|--------|---------------------------------------------|--------|--------------------------------------------|
| **CONSOLIDATED                              STATEMENTS OF DEFICIT**                                                                                         |   |                                                |   |                                              |   |                                        |   |                                       |
| **For                              the six months and three months ended June 30, 2006                              AND                              2005** |   |                                                |   |                                              |   |                                        |   |                                       |
| (Unaudited)                                                                                                                                                 |   |                                                |   |                                              |   |                                        |   |                                       |
|                                                                                                                                                        |   |                                                |   |                                              |   |                                        |   |                                       |
|                                                                                                                                                        |   | **Three                              months ended** |   | **Six                              months ended** |
|                                                                                                                                                        |   | **June                              30,**           |   | **June                              30,**         |   | **June                              30,**   |   | **June                              30,**  |
| **Stated                              in U.S. dollars**                                                                                                     |   | **2006**                                            |   | **2005**                                          |   | **2006**                                    |   | **2005**                                   |
|                                                                                                                                                        |   |                                                |   |                                              |   |                                        |   |                                       |
|                                                                                                                                                        |   |                                                |   |                                              |   |                                        |   |                                       |
| **Deficit,                              Beginning of period**                                                                                               |   | $(13,862,008)                                       |   | $                              (4,580,215)        |   | $                              (13,804,409) |   | $                              (4,640,956) |
|                                                                                                                                                        |   |                                                |   |                                              |   |                                        |   |                                       |
| Net                              Loss Available to Common Stockholders                                                                                      |   | (142,348)                                           |   | (112,013)                                         |   | (199,947)                                   |   | (51,272)                                   |
|                                                                                                                                                        |   |                                                |   |                                              |   |                                        |   |                                       |
| **Deficit,                              End of period**                                                                                                     |   | $(14,004,356)                                       |   | $                              (4,692,228)        |   | $                              (14,004,356) |   | $                              (4,692,228) |

*Index*

**CHINA                    MOBILITY SOLUTIONS, INC.**

**NOTES                    TO THE CONSOLIDATED FINANCIAL STATEMENTS**

**June                    30, 2006**

**(                    Unaudited )**

**1.                    Basis of Presentation**

**2.                    Property and Equipment**

|                                                          |   |   |   |   | **June                                30,** |   | **December                                31,** |
|---------------------------------------------------------------|--------|--------|--------|--------|---------------------------------------------|--------|-------------------------------------------------|
|                                                          |   |   |   |   | **2006**                                    |   | **2005**                                        |
|                                                          |   |   |   |   |                                        |   |                                            |
| Equipment                                                     |   |   |   |   | $                                29,402     |   | $                                26,986         |
| Library                                                       |   |   |   |   | 9,554                                       |   | 9,554                                           |
| Furniture                                                     |   |   |   |   | 10,189                                      |   | 10,189                                          |
| Total                                                         |   |   |   |   | 49,145                                      |   | 46,729                                          |
| Less                                : Accumlated depreciation |   |   |   |   | (41,823)                                    |   | (40,481)                                        |
| Net                                book value                 |   |   |   |   | $                                7,322      |   | $                                6,248          |
|                                                          |   |   |   |   |                                        |   |                                            |

**3.                    Convertible debentures**

----

*Index*

**CHINA                      MOBILITY SOLUTIONS, INC.**

**NOTES                      TO THE CONSOLIDATED FINANCIAL STATEMENTS**

**June                      30, 2006**

**(                      Unaudited )**

**4.                    Basic and Diluted Earnings (Loss) Per Share**

|                                                                           |   | Three                                months ended |                                    |   | Six                                months ended |                                    |
|--------------------------------------------------------------------------------|--------|---------------------------------------------------|-----------------------------------------|--------|-------------------------------------------------|-----------------------------------------|
|                                                                           |   | June                                30,           |                                    |   | June                                30,         |                                    |
|                                                                           |   | 2006                                              | 2005                                    |   | 2006                                            | 2005                                    |
|                                                                           |   |                                              |                                    |   |                                            |                                    |
| Net                                income (loss) for the period                |   | (142,348)                                         | (112,013)                               |   | (199,947)                                       | (51,272)                                |
|                                                                           |   |                                              |                                    |   |                                            |                                    |
| Weighted-average                                number of shares outstanding   |   | 20,011,792                                        | 16,921,670                              |   | 20,011,792                                      | 16,522,057                              |
|                                                                           |   |                                              |                                    |   |                                            |                                    |
| Effective                                of dilutive securities :              |   |                                              |                                    |   |                                            |                                    |
| Dilutive                                options - $0.30                        |   | -                                                 | -                                       |   | -                                               | -                                       |
| Dilutive                                warrants new Series "A" - $0.38        |   | -                                                 | -                                       |   | -                                               | -                                       |
| Dilutive                                warrants new Series "B" - $0.45        |   | -                                                 | -                                       |   | -                                               | -                                       |
| Dilutive                                potential common shares                |   | -                                                 | -                                       |   | -                                               | -                                       |
|                                                                           |   |                                              |                                    |   |                                            |                                    |
| Adjusted                                weighted-average shares and            |   | 20,011,792                                        | 16,921,670                              |   | 20,011,792                                      | 16,522,057                              |
| assumed                                conversions                             |   |                                              |                                    |   |                                            |                                    |
|                                                                           |   |                                              |                                    |   |                                            |                                    |
| Basic                                income (loss) per share attributable to   |   |                                              |                                    |   |                                            |                                    |
| common                                shareholders                             |   | $                                (0.01)           | $                                (0.01) |   | $                                (0.01)         | $                                (0.00) |
|                                                                           |   |                                              |                                    |   |                                            |                                    |
| Diluted                                income (loss) per share attributable to |   |                                              |                                    |   |                                            |                                    |
| common                                shareholders                             |   | $                                (0.01)           | $                                (0.01) |   | $                                (0.01)         | $                                (0.00) |
|                                                                           |   |                                              |                                    |   |                                            |                                    |

----

*Index*

**CHINA                      MOBILITY SOLUTIONS, INC.**

**NOTES                      TO THE CONSOLIDATED FINANCIAL STATEMENTS**

**June                      30, 2006**

**(                      Unaudited )**

**5.                    Share Purchase Warrants**

**6.                    Stock Options**

**7.                    Related Party Transactions**

**8.                    New Accounting Pronouncements**

----

*Index*

**CHINA                      MOBILITY SOLUTIONS, INC.**

**NOTES                      TO THE CONSOLIDATED FINANCIAL STATEMENTS**

**June                      30, 2006**

**(                      Unaudited )**

**9.                    Segment and Geographic Data**

| A.                              By geographic areas               |   | China                                    | Canada                                | Other                            | Total                                    |
|-------------------------------------------------------------------|--------|------------------------------------------|---------------------------------------|----------------------------------|------------------------------------------|
|                                                              |   |                                     |                                  |                             |                                     |
| Three                              months ended June 30, 2006     |   |                                     |                                  |                             |                                     |
| Revenue                              from continuing operations   |   | $                              1,451,107 | $                              10,263 | $                              - | $                              1,461,370 |
| Operating                              income (loss)              |   | 458,566                                  | (34,727)                              | (590,122)                        | (166,283)                                |
| Total                              assets                         |   | 4,206,698                                | 62,602                                | 6,474,392                        | 10,743,692                               |
| Depreciation                                                      |   | -                                        | 749                                   | -                                | 749                                      |
| Interest                              income                      |   | 7,770                                    | 282                                   | 15,883                           | 23,935                                   |
| Interest                              expense                     |   | -                                        | 19                                    | 64,599                           | 64,618                                   |
| Investment                              in equity method investee |   | -                                        | -                                     | 1                                | 1                                        |
|                                                              |   |                                     |                                  |                             |                                     |
| Three                              months ended June 30, 2005     |   |                                     |                                  |                             |                                     |
| Revenue                              from continuing operations   |   | $                              1,131,988 | $                              32,630 | $                              - | $                              1,164,618 |
| Operating                              income (loss)              |   | 4,743                                    | (37,898)                              | (92,268)                         | (125,423)                                |
| Total                              assets                         |   | 6,744,355                                | 124,682                               | 315,136                          | 7,184,173                                |
| Depreciation                                                      |   | -                                        | 576                                   | -                                | 576                                      |
| Interest                              income                      |   | 19,165                                   | 7                                     | -                                | 19,172                                   |
| Interest                              expense                     |   | -                                        | -                                     | -                                | -                                        |
| Investment                              in equity method investee |   | -                                        | -                                     | 1                                | 1                                        |

| A.                                By geographic areas               |   | China                                      | Canada                                   | Other                              | Total                                      |
|---------------------------------------------------------------------|--------|--------------------------------------------|------------------------------------------|------------------------------------|--------------------------------------------|
|                                                                |   |                                       |                                     |                               |                                       |
| Six                                months ended June 30, 2006       |   |                                       |                                     |                               |                                       |
| Revenue                                from continuing operations   |   | $                                2,892,024 | $                                29,290  | $                                - | $                                2,921,314 |
| Operating                                income (loss)              |   | 848,341                                    | (73,885)                                 | (1,022,896)                        | (248,440)                                  |
| Total                                assets                         |   | 4,206,698                                  | 62,602                                   | 6,474,392                          | 10,743,692                                 |
| Depreciation                                                        |   | -                                          | 1,360                                    | -                                  | 1,360                                      |
| Interest                                income                      |   | 14,073                                     | 679                                      | 33,741                             | 48,493                                     |
| Interest                                expense                     |   | -                                          | 19                                       | 118,911                            | 118,930                                    |
| Investment                                in equity method investee |   | -                                          | -                                        | 1                                  | 1                                          |
|                                                                |   |                                       |                                     |                               |                                       |
| Six                                months ended June 30, 2005       |   |                                       |                                     |                               |                                       |
| Revenue                                from continuing operations   |   | $                                2,186,501 | $                                107,308 | $                                - | $                                2,293,809 |
| Operating                                income (loss)              |   | 261,926                                    | (28,702)                                 | (188,601)                          | 44,623                                     |
| Total                                assets                         |   | 6,744,355                                  | 124,682                                  | 315,136                            | 7,184,173                                  |
| Depreciation                                                        |   | -                                          | 1,160                                    | 8                                  | 1,168                                      |
| Interest                                income                      |   | 36,403                                     | 11                                       | -                                  | 36,414                                     |
| Interest                                expense                     |   | -                                          | -                                        | -                                  | -                                          |
| Investment                                in equity method investee |   | -                                          | -                                        | 1                                  | 1                                          |

----

*Index*

**CHINA                      MOBILITY SOLUTIONS, INC.**

**NOTES                      TO THE CONSOLIDATED FINANCIAL STATEMENTS**

**June                      30, 2006**

**(                      Unaudited )**

|                                                                    |   | Mobile                                     | ESL                                     |                                     |                                       |
|-------------------------------------------------------------------------|--------|--------------------------------------------|-----------------------------------------|------------------------------------------|--------------------------------------------|
| B.                                By operating segments                 |   | communications                             | education                               | Other                                    | Total                                      |
|                                                                    |   |                                       |                                    |                                     |                                       |
| For                                the three months ended June 30, 2006 |   |                                       |                                    |                                     |                                       |
| Revenue                                from external customers          |   | $                                1,451,107 | $                                10,263 | $                                -       | $                                1,461,370 |
| Intersegment                                revenue                     |   | -                                          | -                                       | -                                        | -                                          |
| Interest                                revenue                         |   | 6,550                                      | 282                                     | 17,103                                   | 23,935                                     |
| Interest                                expense                         |   | -                                          | -                                       | 64,618                                   | 64,618                                     |
| Depreciation                                                            |   | -                                          | 448                                     | 301                                      | 749                                        |
| Segment                                operation profit (loss)          |   | 457,739                                    | (21,826)                                | (602,196)                                | (166,283)                                  |
| Segment                                assets                           |   | 3,657,778                                  | 59,601                                  | 7,026,313                                | 10,743,692                                 |
|                                                                    |   |                                       |                                    |                                     |                                       |
| For                                the three months ended June 30, 2005 |   |                                       |                                    |                                     |                                       |
| Revenue                                from external customers          |   | $                                1,133,972 | $                                32,630 | $                                (1,984) | $                                1,164,618 |
| Intersegment                                revenue                     |   | -                                          | -                                       | -                                        | -                                          |
| Interest                                revenue                         |   | 8,970                                      | 7                                       | 10,195                                   | 19,172                                     |
| Interest                                expense                         |   | -                                          | -                                       | -                                        | -                                          |
| Depreciation                                                            |   | -                                          | 535                                     | 41                                       | 576                                        |
| Segment                                operation profit (loss)          |   | 2,828                                      | (14,644)                                | (113,607)                                | (125,423)                                  |
| Segment                                assets                           |   | 2,446,380                                  | 121,847                                 | 4,615,946                                | 7,184,173                                  |

|                                                                    |   | Mobile                                       | ESL                                        |                                 |                                         |
|-------------------------------------------------------------------------|--------|----------------------------------------------|--------------------------------------------|--------------------------------------|----------------------------------------------|
| B.                                  By operating segments               |   | communications                               | education                                  | Other                                | Total                                        |
|                                                                    |   |                                         |                                       |                                 |                                         |
| For                                  the six months ended June 30, 2006 |   |                                         |                                       |                                 |                                         |
| Revenue                                  from external customers        |   | $                                  2,892,024 | $                                  29,290  | $                                  - | $                                  2,921,314 |
| Intersegment                                  revenue                   |   | -                                            | -                                          | -                                    | -                                            |
| Interest                                  revenue                       |   | 12,853                                       | 679                                        | 34,961                               | 48,493                                       |
| Interest                                  expense                       |   | -                                            | -                                          | 118,930                              | 118,930                                      |
| Depreciation                                                            |   | -                                            | 884                                        | 476                                  | 1,360                                        |
| Segment                                  operation profit (loss)        |   | 845,469                                      | (34,211)                                   | (1,059,698)                          | (248,440)                                    |
| Segment                                  assets                         |   | 3,657,778                                    | 59,601                                     | 7,026,313                            | 10,743,692                                   |
|                                                                    |   |                                         |                                       |                                 |                                         |
| For                                  the six months ended June 30, 2005 |   |                                         |                                       |                                 |                                         |
| Revenue                                  from external customers        |   | $                                  2,186,501 | $                                  107,308 | $                                  - | $                                  2,293,809 |
| Intersegment                                  revenue                   |   | -                                            | -                                          | -                                    | -                                            |
| Interest                                  revenue                       |   | 8,970                                        | 11                                         | 27,433                               | 36,414                                       |
| Interest                                  expense                       |   | -                                            | -                                          | -                                    | -                                            |
| Depreciation                                                            |   | -                                            | 1,077                                      | 91                                   | 1,168                                        |
| Segment                                  operation profit (loss)        |   | 261,088                                      | 13,591                                     | (230,056)                            | 44,623                                       |
| Segment                                  assets                         |   | 2,446,380                                    | 121,847                                    | 4,615,946                            | 7,184,173                                    |
|                                                                    |   |                                         |                                       |                                 |                                         |

*Index*

**Item          2. Management's Discussion and Analysis of Financial Condition          and Results of Operations**

**CRITICAL          ACCOUNTING POLICIES**

**RESULTS          OF OPERATIONS FOR THE QUARTER ENDED MARCH 31, 2006 AS COMPARED TO THE QUARTER          ENDED JUNE 30, 2006**

| During                    the quarter, the Company had revenues in two segments:              |   |   |       |
|----------------------------------------------------------------------------------------------------|--------|--------|------------|
|          Mobile                    marketing services |   | $      | $1,451,107 |   |
|          Windsor                    - ESL Education   |   | $      | $10,263    |   |
| The                    cost of revenue in each segment was:                                        |   |   |       |   |
|          Mobile                    marketing services |   | $      | 304,336    |   |
|          Windsor                                      |   | $      | 2,260      |   |
| The                    gross profit from each of the business segments was:                        |   |   |       |   |
|          Mobile                                       |   | $      | 1,146,771  |   |
|          Windsor                                      |   | $      | 8,003      |   |
|                                                                                               |   | $      | 1,154,774  |   |

----

*Index*

**LIQUIDITY          AND CAPITAL RESOURCES**

**Changes          in Financial Condition June 30 2006 and Compared to December 31,          2005.**

----

*Index*

**Need          for Additional Financing:**

**Market          Risk:**

**Future          Trends:**

----

*Index*

**Item          3. Controls and Procedures. **

**Quarterly          Evaluation of Controls. **

----

*Index*

**PART          II. OTHER INFORMATION**

**Item          1. Legal Proceedings. **

**Item          2. Unregistered Sales of Equity Securities and Use of          Proceeds. **

----

*Index*

**Item          3. Defaults Upon Senior Securities.**

**Item          4. Submission of Matters to a Vote of Security Holders.**

**Item          5. Other Information. **

**Item          6. Exhibits and Reports on Form 8-K.**

| (a)   | Filed                    a Form 8-K on May 10, 2006 to report the entry into a Waiver/Settlement                    Agreement with respect to the alleged default under the Company’s Senior                    Convertible Debenture. |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  **EXHIBIT                    INDEX** |
|--------------------------------------------|
| **Exhibit****Number**                      | **Description** |
| 31.1                                       | Certification                    pursuant to Rule 13a-14(a)or Rule                    15d-14(a), as adopted pursuant to Section 302 of the Sarbanes-Oxley                    Act                    of2002. |
| 31.2                                       | Certification                    pursuant to Rule 13a-14(a) or Rule                    15d-14(a), as adopted pursuant to Section 302 of the Sarbanes-Oxley                    Act                    of2002. |
| 32.1                                       | Certification                    pursuant to 18U.S.C. 1350, as adopted                    pursuant to Section 906 of the Sarbanes-Oxley Act of                    2002. |
| 32.2                                       | Certification                    pursuant to 18 V.S.C. 1350, as                    adopted pursuant to Section 906 of the Sarbanes-Oxley Act                    of2002. |

----

*Index*

**SIGNATURES**

|                                           |                                                                                                                           |                                    |
|------------------------------------------------|--------------------------------------------------------------------------------------------------------------------------------|-----------------------------------------|
|                                           | **CHINA                    MOBILITY SOLUTIONS, INC.**(Registrant)                                                              |
|                                      |                                                                                                                      |                               |
| Date: *August                    7, 2006* | By:                                                                                                                  | /s/ *Angela                    Du* |
|                                           | *Angela                    Du**Chief                    Executive Officer and Principal Accounting                    Officer* |

|                                           |                                                                               |                                        |
|------------------------------------------------|------------------------------------------------------------------------------------|---------------------------------------------|
|                                           |                                                                               |
|                                      |                                                                          |                                   |
| Date: *August                    7, 2006* | By:                                                                      | /s/ *Ernest                    Cheung* |
|                                           | *Ernest                    Cheung**Principal                    Financial Officer* |