**UNITED
      STATES**


**SECURITIES
      AND EXCHANGE COMMISSION**


**Washington,
      D.C. 20549**







**FORM 10-KSB**









x
            **ANNUAL
                REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
                EXCHANGE ACT OF 1934****For
                the fiscal year ended January 1, 2006 to December 31,
                2006****OR**o
            **TRANSITION
                REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
                EXCHANGE ACT OF 1934****For
                the transition period
                from**




**Commission
      File Number 333-64804**








**ALONG
      MOBILE TECHNOLOGIES, INC.**


(name
      of
      registrant as specified in its charter)




**NEVADA**
            
            **94-2906927**(State
                or other jurisdiction of
            
            (I.R.S.
                Employer Identification No.)incorporation
                or organization)**No.
                88, 9****th****Floor, Western Part of the 2****nd**
              **South
                Ring Road,**
              **Xi’an
                City, Shaanxi Province, PRC**
            
            **710065**(Address
                of principal executive offices)
            
            (Zip
                Code)




**011-86-29-88360097**


(Registrant’s
      telephone number, including area code)





Securities
      registered pursuant to Section 12(b) of the Act: **None.**




Securities
      registered pursuant to Section 12(g) of the Act:  Common Stock
      ($0.001 par value)





Check
      whether the issuer is not required to file reports pursuant to Section 13
      or 15(d) of the Exchange Act. o




Check
      whether the issuer (1) filed all reports required to be filed by
      Section 13 or 15(d) of the Exchange Act during the past 12 months (or
      for such shorter period that the registrant was required to file such reports),
      and (2) has been subject to such filing requirements for the past 90
      days.  Yes þ No o




Check
      if
      there is no disclosure of delinquent filers in response to Item 405 of
      Regulation S-B is not contained in this form, and no disclosure will be
      contained, to the best of the registrant’s knowledge, in definitive proxy or
      information statements incorporated by reference in Part III of this
      Form 10-KSB or any amendment to this Form 10-KSB. þ




Indicate
      by check mark whether the registrant is a shell company (as defined in Rule
      12b-2 of the Exchange Act). Yes o No þ





State
      issuer’s revenues for its most recent fiscal year: $6,427,893





The
      aggregate market value of the Common Stock held by non-affiliates of the
      Registrant as of December 31, 2006, was approximately $17,018,531.75, based
      upon
      the closing price of $2.75 per share reported for such date on the PinkSheets.





As
      of
      March 1, 2007, there were 70,600,000 shares of Common Stock issued and
      outstanding.




**DOCUMENTS
      INCORPORATED BY REFERENCE:**




None










**Along
      Mobile Technologies, Inc.**


**Annual
      Report on Form 10-KSB**


**For
      Period January 1, 2006 - December 31, 2006**





**INDEX**





**PART
                I**ITEM
                1.
            Description
                of Business
            
            3ITEM
                1A.
            Risk
                Factors
            
            4ITEM
                1B.
            Unresolved
                Staff Comments
            
            12ITEM
                2.
            Description
                of Properties
            
            12ITEM
                3.
            Legal
                Proceedings
            
            12ITEM
                4.
            Submission
                of Matters to a Vote of Security Holders
            
            12**PART
                II**ITEM
                5.
            Market
                for Common Equity, Related Stockholder Matters and Small Business
                Issuer
                Purchases of Equity Securities
            
            13ITEM
                6.
            Management's
                Discussion and Analysis or Plan of Operation
            
            14ITEM
                7.
            Consolidated
                Financial Statements
            
            25ITEM
                8.
            Changes
                in and Disagreements with Accountants on Accounting and Financial
                Disclosure
            
            48ITEM
                8A.
            Controls
                and Procedures
            
            48ITEM
                8B.
            Other
                Information
            
            48**PART
                III**ITEM
                9.
            Directors,
                Executive Officers, Promoters and Control Persons
            
            48ITEM
                10.
            Executive
                Compensation
            
            49ITEM
                11.
            Security
                Ownership of Certain Beneficial Owners and Management and Related
                Stockholder Matters
            
            49ITEM
                12.
            Certain
                Relationships and Related Transactions
            
            50ITEM
                13.
            Exhibits
                and Reports on Form 8-K
            
            50ITEM
                14.
            Principal
                Accountant Fees and Services
            
            51**SIGNATURES**
            
            
            **52**





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**INFORMATION
      REGARDING FORWARD-LOOKING STATEMENTS**





*This
      Transition Report on Form 10-KSB contains forward-looking statements. These
      statements relate to future events or our future financial performance. In
      some
      cases, you can identify forward-looking statements by terminology such as “may,”
“will,” “should,” “expect,” “plan,” “anticipate,” “believe,” “estimate,”
“predict,” “potential” or “continue,” the negative of such terms or other
      comparable terminology. These statements are only predictions. Actual events
      or
      results may differ materially.*




*Although
      we believe that the expectations reflected in the forward-looking statements
      are
      reasonable, we cannot guarantee future results, levels of activity, performance
      or achievements. Moreover, neither we nor any other person assumes
      responsibility for the accuracy and completeness of the forward-looking
      statements. We undertake no duty to update any of the forward-looking statements
      after the date of this report to conform such statements to actual results
      or to
      changes in our expectations.*




*Readers
      are also urged to carefully review and consider the various disclosures made
      by
      us which attempt to advise interested parties of the factors which affect our
      business, including without limitation the disclosures made under the caption
      “Management’s Discussion and Analysis of Financial Condition and Results of
      Operations” and under the caption “Risk Factors” included
      herein.*





**ITEM
      1. Business**




*Overview*




ALONG
      MOBILE TECHOLOGIES, INC. (“AMT”, “we” or the “Company”) is a mobile value-added
      services (“MVAS”) provider in the People’s Republic of China (the “PRC” or
“China”). The Company designs, produces, publishes, manufactures, provides and
      distributes proprietary wireless entertainment applications such as ring-tones,
      games, images, videos and e-books (“Wireless Applications”) to its customers.
      The Company also designed, produced and distributed portable digital hardware
      products such as MP3, MP4 and PMP’ s (“Hardware Products”) which, together with
      mobile communication devices manufactured and/or distributed by unaffiliated
      third party manufacturers and distributors of such products, may be used in
      conjunction with the Company’s proprietary Wireless Applications, however the
      management of the company has decided to concentrate their efforts on Wireless
      Applications and cease certain Hardware Products business since 2005, and ceased
      all the hardware products business as of Dec. 31 2005. Our Wireless Applications
      are intended to be downloaded by our customers on a fee-basis by means of our
      proprietary public downloading terminals (“Terminals”) which are installed by us
      in strategic locations such as shopping centers, universities, entertainment
      centers, cinemas, hotels, airports, restaurants and parks and additionally,
      through our customers access to and, use of, the Internet. The customers for our Wireless
      Applications include anyone in Greater China who has a mobile telephone or
      other
      personal digital assistant communications device. In 2006, the management of
      the
      Company decided to transfer the position from mobile value-added services
      provider to a leading provider of mobile interactive entertainment platform
      services in China.





The
      Company was initially incorporated in the State of Nevada in 1994 as Merit
      Diversified International Incorporated. From 1994 through 2005, the Company’s
      name was changed several times beginning in 1994 to Allied Artists Entertainment
      Group, Inc., in 2001 to International Synergy Holding Company, Ltd., and we
      adopted our current name, Along Mobile Technologies, Inc. in December, 2005.
      Our
      world headquarter is located at No. 88, 9 th Floor
      Western, Part of the 2 nd South
      Ring Road, Xi’an City, Shaanxi Province, PRC. 710065. In November, 2005, the
      Company, then named International Synergy Holding Company, Ltd., (“ISYH”)
      acquired, as a wholly owned subsidiary, Main Glory Holdings, Ltd., a Hong Kong
      company (“Main Glory”). The acquisition of Main Glory as a wholly owned
      subsidiary of ISYH was accomplished through the use of a Stock Exchange
      Agreement wherein ISYH received one hundred percent (100%) of all of the issued
      and outstanding common shares of Main Glory in return for the issuance to the
      Main Glory shareholders and consultants to such shareholders of Sixty Three
      Million Eight Hundred Eleven Thousand Four Hundred and Forty Three, (63,811,443)
      shares of ISYH common stock. Prior to ISYH’s acquisition of Main Glory as a
      wholly owned subsidiary in November 2005, Main Glory consummated a Stock
      Exchange Agreement with Shaan xi
      Jialong Hi-Tech Incorporated Company, a company formed in the PRC in 2002,
      (“Jialong”) whereby, Jialong became a wholly owned subsidiary of Main Glory.





The
      Company’s goal is to enhance the value to its user base and thereby continue the
      expansion of its customer base throughout Greater China.  Through its
      efforts, the Company has established a significant scale and customer reach
      and
      has built a significant leadership position in the MVA market, more specific
      in
      achieving mobile interactive entertainment and serving its customers through
      its
      exclusive distribution platform in China. AMT continues to develop new products
      and build strategic partnerships to enhance its offerings and increase its
      customer base. These initiatives are designed to leverage AMT’s brand strength
      and expand its presence in the MVA industry in China.




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*Employees*





As
      of
      December 31, 2006, we had approximately 156 full-time employees employed in
      Greater China. From time to time we employ independent contractors to support
      our production, engineering, marketing, and sales departments.





*Web
      Site Access to Our Periodic SEC Reports*





Our
      corporate Internet address is http://www.Alonggame.com .
      We make
      available free of charge on or through our web site our annual reports on Form
      10-K, quarterly reports on Form 10-Q, current reports on Form 8-K, and
      amendments to those reports filed or furnished pursuant to Section 13(a) or
      15(d) of the Securities Exchange Act of 1934, as amended (the “Exchange Act”) as
      soon as reasonably practicable after we electronically file such material with,
      or furnish it to, the Securities and Exchange Commission (“SEC”). We may from
      time to time provide important disclosures to investors by posting them in
      the
      investor relations section of our web site, as allowed by SEC rules. Information
      contained on AMT’s web site is not part of this report or any other report filed
      with the SEC. You may read and copy any public reports we filed with the SEC
      at
      the SEC’s Public Reference Room at 450 Fifth Street, N.W., Washington, D.C.
      20549. You may obtain information on the operation of the Public Reference
      Room
      by calling the SEC at 1-800-SEC-0330. The SEC also maintains an Internet site http://www.sec.gov that
      contains reports and information statements, and other information that we
      filed
      electronically.




**Item 1A:
      Risk Factors**





*Because
      our operating history is limited and the revenue and income potential of our
      business and markets are unproven, we cannot predict whether we will meet
      internal or external expectations of future performance.*





We
      believe that our future success depends on our ability to significantly increase
      revenue from our operations, of which we have a limited history. Accordingly,
      our prospects must be considered in light of the risks, expenses and
      difficulties frequently encountered by companies with a limited operating
      history. These risks include our ability to:





·
            Offer
                new and innovative products;





·
            attract
                buyers for our MVAS;




·
            attract
                advertisers;





·
            attract
                a larger audience to our network;





·
            derive
                revenue from our users from fee-based Internet
                services;





·
            respond
                effectively to competitive pressures and address the effects of strategic
                relationships or corporate combinations among our
                competitors;





·
            maintain
                our current, and develop new, strategic
                relationships





·
            increase
                awareness of our brand and continue to build user
                loyalty;




Page
          4 of
          53




·
            attract
                and retain qualified management and
                employees;





·
            upgrade
                our technology to support increased traffic and expanded services;
                and





·
            expand
                the content and services on our network.





*We
      are relying on MVAS for a significant portion of our future
      revenue* ***.***





Our
      revenues are derived primarily from our MVAS services. If users do not adopt
      our
      MVAS at a sufficient rate our revenue growth could be negatively affected.
      Factors that may prevent us from maintaining or growing our MVAS revenues
      include:





·
            our
                ability to develop new services that become accepted by the
                market.





·
            our
                ability to retain existing customers of our subscription
                services.





·
            our
                ability to attract new subscribers in a cost-effective
                manner.





·
            competitors,
                including mobile operators, may launch competing or better products
                that
                ours.





·
            changes
                in government regulations, which could restrict our MVAS offering
                and/or
                our ability to market our services.





*The
      markets for MVAS services are highly competitive, and we may be unable to
      compete successfully against new entrants and established industry competitors,
      some of which have greater financial resources than we do or currently enjoy
      a
      superior market position than we do.*





There
      is
      significant competition among MVAS providers. A large number of independent
      MVAS
      providers compete against us. We may be unable to continue to grow our revenues
      from these services in this competitive environment. In addition, the major
      mobile operators in China, China Mobile and China Unicom, may potentially enter
      the business of content development. Any of our present or future competitors
      may offer MVAS which provide significant technology, performance, price,
      creativity or other advantages, over those offered by us, and therefore achieve
      greater market acceptance than ours.





The
      Chinese market for MVAS services is competitive and rapidly changing. Barriers
      to entry are relatively low, and current and new competitors can launch new
      websites or services at a relatively low cost. Many companies offer Chinese
      language content and services, including informational and community features,
      fee-based services and email and electronic commerce services in the Greater
      China market that may be competitive with our offerings. In addition, providers
      of Chinese language Internet tools and services may be acquired by, receive
      investments from or enter into other commercial relationships with large,
      well-established and well-financed Internet, media or other companies. In
      addition, entities that sponsor or maintain high-traffic websites or provide
      an
      initial point of entry for Internet users, such as ISPs, including large,
      well-capitalized entities such as Microsoft (MSN), Yahoo! Inc., eBay Inc.,
      Google Inc. (“Google”) and America Online Inc, currently offer and could further
      develop or acquire content and services that compete with those that we offer.
      Companies such as these may have greater financial resources and assets, better
      brand recognition, more developed sales and other internal organizations, more
      customers and more extensive operating histories. As a result, such companies
      may be able to quickly provide competitive services and obtain a significant
      number of customers. We expect that as Internet usage in Greater China increases
      and the Greater China market becomes more attractive for conducting electronic
      commerce, large global competitors may increasingly focus their resources on
      the
      Greater China market.




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          5 of
          53





In
      the
      areas of online games there is intense competition from domestic and
      international companies. These include domestic companies each focusing on
      one
      sector and large, international companies that intend to extend their businesses
      in the China market. The online gaming industry, for example, is dominated
      by
      domestic online game operators such as Shanda, Netease and The9. Many of our
      competitors have a longer history of providing these online services and
      currently offer a greater breadth of products which may be more popular than
      our
      offerings. These companies may therefore have a competitive advantage over
      us
      with respect to these business areas. A number of our current and potential
      future competitors have greater financial and other resources than we have,
      and
      may be able to more quickly react to changing consumer requirements and demands,
      deliver competitive services at lower prices and more effectively respond to
      new
      Internet technologies or technical standards.





*Our
      investment in online games may not be successful.*





Online
      games, are currently some of the fastest growing online services in the PRC.
      We
      have invested and intend to expand in this area. Some of our competitors have
      entered this market ahead of us and have achieved significant market positions.
      Our main competitors in online games include Shanda, Netease, The9, Baidu,
      Yahoo!/Alibaba and Tencent’s QQ. Our competitors may have access to greater
      resources, which may give them a competitive advantage over us. We cannot assure
      you that we will succeed in this market despite our investments of time and
      funds to address this market. If we fail to achieve a significant position
      in
      this market, we will fail to realize our intended returns in this investment.
      Moreover, our competitors who succeed may enjoy increased revenues and profits
      from an increase in market share, and our results and share price could suffer
      as a result.





*We
      may not be able to manage our expanding operations effectively, which could
      harm
      our business.*





We
      have
      expanded rapidly by acquiring companies and entering into strategic agreements.
      We anticipate continuous expansion in our business, both through further
      acquisitions and internal growth, as we address growth in our customer base
      and
      market opportunities. In addition, the geographic dispersion of our operations
      as a result of acquisitions and overall internal growth requires significant
      management resources that our locally-based competitors do not need to devote
      to
      their operations. In order to manage the expected growth of our operations
      and
      personnel, we will be required to improve and implement operational and
      financial systems, procedures and controls, and expand, train and manage our
      growing employee base. Further, our management will be required to maintain
      and
      expand our relationships with various other third parties necessary to our
      business. We cannot assure you that our current and planned personnel, systems,
      procedures and controls will be adequate to support our future operations.
      If we
      are not successful in establishing, maintaining and managing our personnel,
      systems, procedures and controls, our business will be materially and adversely
      affected.





*If
      we
      fail to successfully develop and introduce new products and services, our
      competitive position and ability to generate revenues could be
      harmed.*





We
      are
      developing new products and services. The planned timing or introduction of
      new
      products and services is subject to risks and uncertainties. Actual timing
      may
      differ materially from original plans. Unexpected technical, operational,
      distribution or other problems could delay or prevent the introduction of one
      or
      more of our new products or services. Moreover, we cannot be sure that any
      of
      our new products and services will achieve widespread market acceptance or
      generate incremental revenue. If our efforts to develop, market and sell new
      products and services to the market are not successful, our financial position,
      results of operations and cash flows could be materially adversely affected,
      the
      price of our ordinary shares could decline and you could lose part or all of
      your investment.





*Our
      strategy of acquiring complementary assets, technologies and businesses and
      entering into joint ventures may fail and may result in equity or earnings
      dilution.*





As
      part
      of our business strategy, we have acquired and intend to continue to identify
      and acquire assets, technologies and businesses that are complementary to our
      existing business. In December 2005 we acquired Main Glory and its wholly owned
      subsidiary, Jialong, a MVAS company. We have significant potential ongoing
      financial obligations with respect to this transaction. Acquired businesses
      or
      assets may not yield the results we expected. In addition, acquisitions could
      result in the use of substantial amounts of cash, potentially dilutive issuances
      of equity securities, significant amortization expenses related to goodwill
      and
      other intangible assets and exposure to potential unknown liabilities of the
      acquired business. Moreover, the costs of identifying and consummating
      acquisitions, and integrating the acquired business into ours, may be
      significant. In addition, we may have to obtain approval from the relevant
      PRC
      governmental authorities for the acquisitions and have to comply with any
      applicable PRC rules and regulations, which may be costly. In the event our
      acquisitions are not successful, our financial conditions and results of
      operation may be materially adversely affected.




Page
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          53





*Our
      business and growth could suffer if we are unable to hire and retain key
      personnel that are in high demand* ***.***





We
      depend
      upon the continued contributions of our senior management and other key
      personnel, many of whom are difficult to replace. The loss of the services
      of
      any of our executive officers or other key employees could harm our business.
      Our future success will also depend on our ability to attract and retain highly
      skilled technical, managerial, editorial, marketing, and customer service
      personnel, especially qualified personnel for our international operations
      in
      Greater China. Qualified individuals are in high demand, and we may not be
      able
      to successfully attract, assimilate or retain the personnel we need to succeed.





*Even
      if we are in compliance with Chinese governmental regulations relating to
      licensing and foreign investment prohibitions, the Chinese government may
      prevent us from distributing content that it believes is inappropriate and
      we
      may be liable for such content or we may have to stop profiting from such
      content.*





China
      has
      enacted regulations governing Internet access and the distribution of news
      and
      other information. In the past, the Chinese government has stopped the
      distribution of information over the Internet or through MVAS that it believes
      to violate Chinese law, including content that it believes is obscene, incites
      violence, endangers national security, is contrary to the national interest
      or
      is defamatory. Even if we comply with Chinese governmental regulations relating
      to licensing and foreign investment prohibitions, if the Chinese government
      were
      to take any action to limit or prohibit the distribution of information through
      our MVAS, or to limit or regulate any current or future content or services
      available to users on our network, our business could be significantly harmed.
      Because the definition and interpretation of prohibited content is in many
      cases
      vague and subjective, it is not always possible to determine or predict what
      and
      how content might be prohibited under existing restrictions or restrictions
      that
      might be imposed in the future.




*The
      law of the Internet remains largely unsettled, which subjects our business
      to
      legal uncertainties that could harm our business.*





Due
      to
      the increasing popularity and use of the Internet and other online services,
      it
      is possible that a number of laws and regulations may be adopted with respect
      to
      the Internet or other online services including MVAS covering issues such as
      user privacy, pricing, content, copyrights, distribution, antitrust and
      characteristics and quality of products and services. Furthermore, the growth
      and development of the market for electronic commerce may prompt calls for
      more
      stringent consumer protection laws that may impose additional burdens on
      companies conducting business online. The adoption of any additional laws or
      regulations may decrease the growth of the Internet or other online services,
      which could, in turn, decrease the demand for our products and services and
      increase our cost of doing business.





Moreover,
      the applicability to the Internet and other online services of existing laws
      in
      various jurisdictions governing issues such as property ownership, sales and
      other taxes, libel and personal privacy is uncertain and may take years to
      resolve. For example, new tax regulations may subject us to additional sales
      and
      income taxes. Any new legislation or regulation, the application of laws and
      regulations from jurisdictions whose laws do not currently apply to our
      business, or the application of existing laws and regulations to the Internet
      and other online services could significantly disrupt our operations.





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          53




*The
      Chinese legal system has inherent uncertainties that could limit the legal
      protections available to you.*





Our
      operations in the PRC are governed by the laws of the People’s Republic of
      China. China’s legal system is based upon written statutes. Prior court
      decisions may be cited for reference but are not binding on subsequent cases
      and
      have limited value as precedents. Since 1979, the Chinese legislative bodies
      have promulgated laws and regulations dealing with economic matters such as
      foreign investment, corporate organization and governance, commerce, taxation
      and trade. However, because these laws and regulations are relatively new,
      and
      because of the limited volume of published decisions and their non-binding
      nature, the interpretation and enforcement of these laws and regulations involve
      uncertainties, and therefore you may not have legal protections for certain
      matters in China.





*You
      may experience difficulties in effecting service of legal process, enforcing
      foreign judgments or bringing original actions in China based on United States
      or other foreign laws against us.*





We
      conduct our operations in China and a significant portion of our assets are
      located in China. In addition, most of our directors and executive officers
      reside within China, and substantially all of the assets of these persons are
      located within China. As a result, it may not be possible to effect service
      of
      process within the United States or elsewhere outside China upon those directors
      or executive officers, including with respect to matters arising under U.S.
      federal securities laws or applicable state securities laws. Moreover, our
      Chinese counsel has advised us that China does not have treaties with the U.S.
      and many other countries that provide for the reciprocal recognition and
      enforcement of judgment of courts. As a result, recognition and enforcement
      in
      China of judgments of a court of the U.S. or any other jurisdiction in relation
      to any matter may be difficult or impossible.





*We
      may have to register our encryption software with Chinese regulatory
      authorities, and if they request that we change our encryption software, our
      business operations could be disrupted as we develop or license replacement
      software.*





Pursuant
      to the *Regulations
      for the Administration of Commercial Encryption* promulgated
      at the end of 1999, foreign and domestic Chinese companies operating in China
      are required to register and disclose to Chinese regulatory authorities the
      commercial encryption products they use. Because these regulations do not
      specify what constitutes encryption products, we are unsure as to whether or
      how
      they apply to us and the encryption software we utilize. We may be required
      to
      register, or apply for permits with the relevant Chinese regulatory authorities
      for, our current or future encryption software. If Chinese regulatory
      authorities request that we change our encryption software, we may have to
      develop or license replacement software, which could disrupt our business
      operations.





*Concerns
      about the security of electronic commerce transactions and confidentiality
      of
      information on the Internet may reduce use of our network and impede our
      growth.*





A
      significant barrier to electronic commerce and communications over the Internet
      in general has been a public concern over security and privacy, especially
      the
      transmission of confidential information. If these concerns are not adequately
      addressed, they may inhibit the growth of the Internet and other online services
      generally, especially as a means of conducting commercial transactions. If
      a
      well-publicized Internet breach of security were to occur, general Internet
      usage could decline, which could reduce traffic to our destination sites and
      impede our growth.





*We
      may not be able to adequately protect our intellectual property, which could
      cause us to be less competitive.*





We
      rely
      on a combination of copyright, trademark and trade secret laws and restrictions
      on disclosure to protect our intellectual property rights. Despite our efforts
      to protect our proprietary rights, unauthorized parties may attempt to copy
      or
      otherwise obtain and use our technology. Monitoring unauthorized use of our
      products is difficult and costly, and we cannot be certain that the steps we
      have taken will prevent misappropriations of our technology, particularly in
      foreign countries where the laws may not protect our proprietary rights as
      fully
      as in the United States. From time to time, we may have to resort to litigation
      to enforce our intellectual property rights, which could result in substantial
      costs and diversion of our resources.




Page
          8 of
          53





*We
      may be exposed to infringement claims by third parties, which, if successful,
      could cause us to pay significant damage awards.*





Third
      parties may initiate litigation against us alleging infringement of their
      proprietary rights. In the event of a successful claim of infringement and
      our
      failure or inability to develop non-infringing technology or license the
      infringed or similar technology on a timely basis, our business could be harmed.
      In addition, even if we are able to license the infringed or similar technology,
      license fees could be substantial and may adversely affect our results of
      operations.





*We
      may be subject to claims based on the content we provide over our network and
      the products and services sold on our network, which, if successful, could
      cause
      us to pay significant damage awards.*





As
      a
      publisher and distributor of content and a provider of services over the
      Internet and mobile telecommunications systems, we face potential liability
      for
      defamation, negligence, copyright, patent or trademark infringement and other
      claims based on the nature and content of the materials that we publish or
      distribute. We may incur significant costs in investigating and defending any
      potential claims, even if they do not result in liability.





*We
      have contracted with third parties to provide content and services for our
      MVAS
      products and we may lose users and revenue if these arrangements are
      terminated.*





We
      have
      arrangements with a number of third parties to provide content and services
      to
      our MVAS business and its various products. Although no single third party
      content provider is critical to our operations, if these parties fail to develop
      and maintain high-quality and successful products and services, or if a large
      number of our existing relationships are terminated, we could lose customers
      and
      market share and our business could be harmed.





*Underdeveloped
      telecommunications infrastructure has limited, and may continue to limit, the
      growth of the MVAS market in China which, in turn, could limit our ability
      to
      grow our business.*





The
      telecommunications infrastructure in China is not well developed. Although
      private sector ISPs exist in China, almost all access to the Internet is
      accomplished through ChinaNet, China’s primary commercial network, which is
      owned and operated by China Telecom and China Netcom under the administrative
      control and regulatory supervision of MII. The underdeveloped Internet
      infrastructure in China has limited the growth of Internet usage in China.
      If
      the necessary Internet infrastructure is not developed, or is not developed
      on a
      timely basis, future growth of the Internet in China could be limited and our
      business could be harmed.





*We
      must rely on the Chinese government to develop China’s Internet infrastructure
      and, if it does not develop this infrastructure, our ability to grow our
      business could be hindered.*





The
      Chinese government’s interconnecting, national networks connect to the Internet
      through government-owned international gateways, which are the only channels
      through which a domestic Chinese user can connect to the international Internet
      network. We rely on this backbone and China Telecom and China Netcom to provide
      data communications capacity primarily through local telecommunications lines.
      Although the Chinese government has announced plans to aggressively develop
      the
      national information infrastructure, we cannot assure you that this
      infrastructure will be developed. In addition, we have no guarantee that we
      will
      have access to alternative networks and services in the event of any disruption
      or failure. If the necessary infrastructure standards or protocols or
      complementary products, services or facilities are not developed by the Chinese
      government, the growth of our business could be hindered.





*Future
      outbreaks of Severe Acute Respiratory Syndrome (“SARS”), Avian flu or other
      widespread public health problems could adversely affect our
      business.*





Future
      outbreaks of SARS, Avian flu or other widespread public health problems in
      China
      and surrounding areas, where most of our employees work, could negatively impact
      our business in ways that are hard to predict. Prior experience with the SARS
      virus suggests that a future outbreak of SARS, Avian flu or other widespread
      public health problems may lead public health authorities to enforce
      quarantines, which could result in closures of some of our offices and other
      disruptions of our operations. A future outbreak of SARS, Avian flu or other
      widespread public health problems could result in reduction of our advertising
      and fee-based revenues.




Page
          9 of
          53





*Political
      and economic conditions in Greater China and the rest of Asia are unpredictable
      and may disrupt our operations if these conditions become unfavorable to our
      business.*





We
      expect
      to derive a substantial percentage, if not all, of our revenues from the Greater
      China market. Changes in political or economic conditions in the region are
      difficult to predict and could adversely affect our operations which could
      reduce our revenues. We maintain a strong local identity and presence in each
      of
      the regions in the Greater China market in which we offer our products and
      we
      cannot be sure that we will be able to effectively maintain this local identity
      if political conditions were to change. Furthermore, many countries in Asia
      have
      experienced significant economic downturns since the middle of 1997, resulting
      in slower GDP growth for the entire region as a result of higher interest rates
      and currency fluctuations. If declining economic growth rates persist in these
      countries, expenditures for Internet and mobile telecommunications access could
      decrease, which could negatively affect our business and our profitability
      over
      time.





Economic
      reforms in the region could also affect our business in ways that are difficult
      to predict. For example, since the late 1970s, the Chinese government has been
      reforming the Chinese economic system to emphasize enterprise autonomy and
      the
      utilization of market mechanisms. Although we believe that these reform measures
      have had a positive effect on the economic development in China, we cannot
      be
      sure that they will be effective or that they will benefit our business.





*Currency
      fluctuations and restrictions on currency exchange may adversely affect our
      business, including limiting our ability to convert Chinese renminbi into
      foreign currencies and, if Chinese renminbi were to decline in value, reducing
      our revenues in U.S. dollar terms.*





Our
      reporting currency is the U.S. dollar and our operations in China and Hong
      Kong
      use their respective local currencies as their functional currencies. The
      majority of our revenues derived and expenses incurred are in Chinese renminbi
      with a relatively small amount in Hong Kong dollars and U.S. dollars. We are
      subject to the effects of exchange rate fluctuations with respect to any of
      these currencies. For example, the value of the renminbi depends to a large
      extent on Chinese government policies and China’s domestic and international
      economic and political developments, as well as supply and demand in the local
      market. Since 1994, the official exchange rate for the conversion of renminbi
      to
      U.S. dollars had generally been stable and the renminbi had appreciated slightly
      against the U.S. dollar. However, on July 21, 2005, the Chinese government
      changed its policy of pegging the value of Chinese renminbi to the U.S. dollar.
      Under the new policy, Chinese renminbi may fluctuate within a narrow and managed
      band against a basket of certain foreign currencies. As a result of this policy
      change, Chinese renminbi appreciated approximately 2.5% against the U.S. dollar
      in 2005. It is possible that the Chinese government could adopt a more flexible
      currency policy, which could result in more significant fluctuation of Chinese
      renminbi against the U.S. dollar. We can offer no assurance that Chinese
      renminbi will be stable against the U.S. dollar or any other foreign currency.





The
      income statements of our international operations are translated into U.S.
      dollars at the average exchange rates in each applicable period. To the extent
      the U.S. dollar strengthens against foreign currencies, the translation of
      these
      foreign currencies denominated transactions results in reduced revenues,
      operating expenses and net income for our international operations. Similarly,
      to the extent the U.S. dollar weakens against foreign currencies, the
      translation of these foreign currency denominated transactions results in
      increased revenues, operating expenses and net income for our international
      operations. We are also exposed to foreign exchange rate fluctuations as we
      convert the financial statements of our foreign subsidiaries into U.S. dollars
      in consolidation. If there is a change in foreign currency exchange rates,
      the
      conversion of the foreign subsidiaries’ financial statements into U.S. dollars
      will lead to a translation gain or loss which is recorded as a component of
      other comprehensive income. In addition, we have certain assets and liabilities
      that are denominated in currencies other than the relevant entity’s functional
      currency. Changes in the functional currency value of these assets and
      liabilities create fluctuations that will lead to a transaction gain or loss.
      We
      have not entered into agreements or purchased instruments to hedge our exchange
      rate risks, although we may do so in the future. The availability and
      effectiveness of any hedging transactions may be limited and we may not be
      able
      to successfully hedge our exchange rate risks.




Page
          10
          of 53





Although
      Chinese governmental policies were introduced in 1996 to allow the
      convertibility of Chinese renminbi into foreign currency for current account
      items, conversion of Chinese renminbi into foreign exchange for capital items,
      such as foreign direct investment, loans or securities, requires the approval
      of
      the State Administration of Foreign Exchange, or SAFE, which is under the
      authority of the People’s Bank of China. These approvals, however, do not
      guarantee the availability of foreign currency. We cannot be sure that we will
      be able to obtain all required conversion approvals for our operations or that
      Chinese regulatory authorities will not impose greater restrictions on the
      convertibility of Chinese renminbi in the future. Because a significant amount
      of our future revenues may be in the form of Chinese renminbi, our inability
      to
      obtain the requisite approvals or any future restrictions on currency exchanges
      could limit our ability to utilize revenue generated in Chinese renminbi to
      fund
      our business activities outside China, or to repay foreign currency obligations,
      including our debt obligations, which would have a material adverse effect
      on
      our financial conditions and results of operation.





*We
      may be required to record a significant charge to earnings if we must reassess
      our goodwill or amortizable intangible assets arising from
      acquisitions.*





We
      are
      required under GAAP to review our amortizable intangible assets for impairment
      when events or changes in circumstances indicate the carrying value may not
      be
      recoverable. Goodwill is required to be tested for impairment at least annually.
      Factors that may be considered a change in circumstances indicating that the
      carrying value of our amortizable intangible assets may not be recoverable
      include a decline in stock price and market capitalization and slower growth
      rates in our industry. We may be required to record a significant charge to
      earnings in our financial statements during the period in which any impairment
      of our goodwill or amortizable intangible assets is determined.





*While
      we believe that we currently have adequate internal control procedures in place,
      we are still exposed to potential risks from recent legislation requiring
      companies to evaluate controls under Section 404 of the Sarbanes-Oxley Act
      of 2002.*





While
      we
      believe that we currently have adequate internal control procedures in place,
      we
      are still exposed to potential risks from recent legislation requiring companies
      to evaluate controls under Section 404 of the Sarbanes-Oxley Act of 2002.
      Under the supervision and with the participation of our management, we have
      evaluated our internal controls systems in order to allow management to report
      on, and our registered independent public accounting firm to attest to, our
      internal controls, as required by Section 404 of the Sarbanes-Oxley Act. We
      have performed the system and process evaluation and testing required in an
      effort to comply with the management certification and auditor attestation
      requirements of Section 404. As a result, we have incurred additional
      expenses and a diversion of management’s time. If we are not able to continue to
      meet the requirements of Section 404 in a timely manner or with adequate
      compliance, we might be subject to sanctions or investigation by regulatory
      authorities, such as the SEC. Any such action could adversely affect our
      financial results and the market price of our ordinary shares.




*You
      should not place undue reliance on our financial guidance, nor should you rely
      on our quarterly operating results as an indication of our future performance
      because our results of operations are subject to significant
      fluctuations.*





We
      may
      experience significant fluctuations in our quarterly operating results due
      to a
      variety of factors, many of which are outside of our control. Significant
      fluctuations in our quarterly operating results could be caused by any of the
      factors identified in this section, including but not limited to our ability
      to
      retain existing customers, attract new customers at a steady rate and maintain
      customer satisfaction; the announcement or introduction of new or enhanced
      services, content and products by us or our competitors; significant news events
      that increase traffic to our websites; technical difficulties, system downtime
      or Internet and mobile communications failures; the amount and timing of
      operating costs and capital expenditures relating to expansion of our business,
      operations and infrastructure; governmental regulation; seasonal trends in
      Internet and mobile telecommunications use; a shortfall in our revenues relative
      to our forecasts and a decline in our operating results due to our inability
      to
      adjust our spending quickly; and general economic conditions and economic
      conditions specific to the Internet, mobile telecommunications and the Greater
      China market. As a result of these and other factors, you should not place
      undue
      reliance on our financial guidance, nor should you rely on quarter-to-quarter
      comparisons of our operating results as indicators of likely future performance.
      Our quarterly revenue and earnings per share guidance is our best estimate
      at
      the time we provide guidance. Our operating results may be below our
      expectations or the expectations of public market analysts and investors in
      one
      or more future quarters. If that occurs, the price of our ordinary shares could
      decline and you could lose part or all of your investment.




Page
          11
          of 53





*Our
      stock price has been historically volatile and may continue to be volatile,
      which may make it more difficult for you to resell shares when you want at
      prices you find attractive.*





The
      trading price of our ordinary shares has been and may continue to be subject
      to
      considerable daily fluctuations. Our stock price may fluctuate in response
      to a
      number of events and factors, such as quarterly variations in operating results,
      announcements of technological innovations and new products by us or our
      competitors, changes in financial estimates and recommendations by securities
      analysts, the operating and stock price performance of other companies that
      investors may deem comparable, new governmental restrictions or regulations
      and
      news reports relating to trends in our markets. In addition, the stock market
      in
      general, and the market prices for China-related and Internet-related companies
      in particular, have experienced extreme volatility that often has been unrelated
      to the operating performance of such companies. These broad market and industry
      fluctuations may adversely affect the price of our ordinary shares, regardless
      of our operating performance.





*We
      may be classified as a passive foreign investment company, which could result
      in
      adverse U.S. tax consequences to U.S. investors.*





Based
      upon the nature of our income and assets, we may be classified as a passive
      foreign investment company, or PFIC, by the United States Internal Revenue
      Service for U.S. federal income tax purposes. This characterization could result
      in adverse U.S. tax consequences to you. For example, if we are a PFIC, our
      U.S.
      investors will become subject to increased tax liabilities under U.S. tax laws
      and regulations and will become subject to more burdensome reporting
      requirements. The determination of whether or not we are a PFIC is made on
      an
      annual basis, and those determinations depend on the composition of our income
      and assets, including goodwill, from time to time. You should be aware that
      certain factors that could affect our classification as PFIC are out of our
      control. For example, the calculation of assets for purposes of the PFIC rules
      depends in large part upon the amount of our goodwill, which in turn is based,
      in part, on the then market value of our shares, which is subject to change.
      Similarly, the composition of our income and assets is affected by the extent
      to
      which we spend the cash we have raised on acquisitions and capital expenditures.
      In addition, the relevant authorities in this area are not clear and so we
      operate with less than clear guidance in our effort to minimize the risk of
      PFIC
      treatment. Therefore, we cannot be sure whether we are not and will not be
      a
      PFIC for the current or any future taxable year. In the event we are determined
      to be a PFIC, our stock may become less attractive to U.S. investors, thus
      negatively impacting the price of our stock.





**ITEM
      1B. Unresolved Staff Comments**




None





**ITEM
      2. Properties**




We
      carry
      out our mobile value-added and other services as well as our administrative
      operations in China and U.S. The majority of our operations are in China, where
      we have offices in Xi’an City, Shaanxi Province, PRC. We believe that our
      existing facilities are adequate to meet our current requirements, and that
      future growth can be accommodated by leasing additional or alternative
      space.





**ITEM
      3. Legal Proceedings**




We
      are
      not involved in any material pending legal proceedings at this time, and
      management is not aware of any contemplated proceeding by any governmental
      authority.





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





None.





Page
          12
          of 53




**PART
      II.**





**ITEM
              5.**
            **Market
                for Common Equity, Related Stockholder Matters and Small Business
                Issuer
                Purchases of Equity
                Securities**





From
      2001
      to December 20, 2005, our common stock has been traded on the PinkSheets under
      the symbol “ISYH.” On December 21, 2005 we received a new symbol “AGMB.” As of
      December 31, 2006, there were 1,571 shareholders of record, without giving
      effect to determining the number of shareholders who hold shares in "street
      name" or other nominee status.





The
      following table sets forth, for the fiscal quarters indicated, the high and
      low
      closing prices as reported by the PinkSheets. These quotations reflect
      inter-dealer prices, without retail mark-up, mark-down or commission, and may
      not represent actual transactions.





**Sales
      Price**





**High**
            
            **Low****Fiscal
                2006**First
                Quarter
            
            $
            0.80
            
            $
            0.45Second
                Quarter
            
            $
            1.03
            
            $
            0.70Third
                Quarter
            
            $
            1.38
            
            $
            0.75Fourth
                Quarter
            
            $
            3.04
            
            $
            1.10**Transitional
                Period (9/1/05 - 12/31/05)**September
            
            $
            0.011
            
            $
            0.011October
            
            $
            0.011
            
            $
            0.011November
            
            $
            0.50
            
            $
            0.011December
            
            $
            0.75
            
            $
            0.75**Fiscal
                2005**First
                Quarter
            
            $
            0.10
            
            $
            0.05Second
                Quarter
            
            $
            0.07
            
            $
            0.015Third
                Quarter
            
            $
            0.015
            
            $
            0.01Fourth
                Quarter
            
            $
            0.02
            
            $
            0.01





*Dividend
      Policy*





On
      January 25, 2005 the Board of Directors declared an annual dividend payable
      for
      the year ended December 31, 2004 in the amount of $309,406 to stockholders
      of
      record on December 31, 2004.





We
      have
      no plans to do so in the foreseeable future. Our future dividend policy will
      be
      determined by our Board of Directors and will depend upon a number of factors,
      including our financial condition and performance, our cash needs and expansion
      plans, income tax consequences, and the restrictions that applicable laws and
      our credit arrangements then impose.





*Recent
      Sales of Unregistered Securities*





There
      were no sales of unregistered securities during the reporting period from
      January 1, 2006 to December 31, 2006.




Page
          13
          of 53




**ITEM
      6. Management's Discussion and Analysis or Plan of
      Operation.**





*Forward
      Looking Statements*





*The
      information set forth in "Management's Discussion and Analysis of Financial
      Condition and Results of Operations" below includes "forward-looking statements"
      within the meaning of Section 27A of the Securities Act, and is subject to
      the
      safe harbor created by that section. Factors that could cause actual results
      to
      differ materially from these contained in the forward-looking statements are
      set
      forth in "Management's Discussion and Analysis of Financial condition and
      Results of Operations".*





*Overview
      and Future Plan of Operations*





Our
      aim
      is to be the leader in the Greater China market for MVA products and services.
      The core of our business is our on-going effort to provide AMT’s customers with
      continuously evolving and changing Wireless Applications and Hardware Products
      and the upgrading of technological platforms such as our Mobile Information
      & Entertainment Service Platform, (“MIESP”) all of which allow our customers
      easy, immediate and affordable access to our products. To advance this core
      business, we are growing our business in ways that we believe complement our
      strategic focus.





We
      have
      made a fundamental determination to remain in control of the dissemination
      of
      our products and direct oversight of our billing for the use of our products.
      We
      have determined that the possible negatives associated with being dependent
      upon
      third party communication providers such as China Mobile and China Unicom for
      the delivery of our products and services, the billing of our fees and
      collection of those fees can and, should be, avoided for the present time.
      We
      have determined that by vending our products into our own established and
      controlled distribution network we can make our products and services available
      to any one who uses a mobile telephone or other PDA device through direct
      connection over their mobile telephone or PDA; through the use of our
      proprietary web site and finally through the use of our proprietary public
      Terminals. In this manner we continue to have direct control over the promotion,
      sale and dissemination of our Wireless Application products and services as
      well
      as the ability to directly control the billing of our customers and collection
      from our customers without the use of a middleman or the fees that usually
      accompany the use of middleman providers such as China Mobile and China Unicom.





We
      own
      and control our own studios and development center where we are constantly
      engaged in the research and development of the refinement and expansion of
      our
      product lines and services as well as the concepts embodied and required for
      the
      building and growing of our controlled distribution network. We are working
      to
      implement a growth strategy around expanding product and service lines and
      our
      controlled network infrastructure that includes the following key elements:





·
            a
                heightened focus on the needs of our customer, delivering
                customer-specific solutions, high quality products and world-class
                customer service;





·
            sales
                growth through market share gains, new products introductions and
                expansion into adjacent and related
                markets;





·
            development
                of new sales channels and market opportunities through the use of
                partnerships and alliances with other application, service and equipment
                vendors, distributors, resellers and systems
                integrators;





·
            lowering
                our cost structure through improved operational efficiencies and
                economies
                of scale to compete effectively in a more cost-conscious marketplace;
                and





·
            applications,
                products and services portfolio additions and enhancements through
                both
                strategic acquisitions and our own research and development
                process.




*Customer
      Focus.* We are
      committed to maximizing our efforts to better understand those Wireless
      Applications, and Services required and desired by our customers and then
      delivering those same Wireless Applications, and Services to our customers
      in a
      simple, direct and economical fashion. We strive to offer customer-specific
      solutions, price competitive products that offer great functionality and
      quality, and world-class customer service that offers on-time product delivery
      and highly responsive support. We believe those companies that best service
      their customers with compelling value propositions that include the
      aforementioned elements hold a competitive advantage in efforts to grow their
      businesses.




Page
          14
          of 53





*Growing
      Sales.* In the
      current environment of constrained capital spending by MVA’s, we believe that we
      must grow our market share to significantly grow our business. We are
      undertaking several initiatives in our efforts to gain market share.
      Specifically, we look to sell more of our current portfolio of Wireless
      Applications to our existing customers, introduce new products and services
      to
      our existing customers, and introduce the entire AMT product and services
      portfolio to new customers. The cornerstone of these initiatives is our
      commitment to focus on the needs and demands of our customers. We also are
      committed to the development and introduction of new products that have
      applications in our current markets and as adjacent markets





*Lowering
      Cost Structure.* We
      remain committed to lower our overall cost structure and be a low-cost industry
      leader. Over the next three years we want to work toward lowering our operating
      margin (exclusive of impairment, restructuring and acquisition-related charges,
      amortization of purchased intangibles and stock-based compensation expenses).
      To
      meet this goal we must contain costs.





*Product
      Portfolio Additions.* We
      continue to invest in research and development initiatives and to search for
      appropriate acquisition opportunities to strengthen our core product portfolio.
      Our efforts are focused on opportunities within our existing markets, as well
      as
      opportunities in adjacent or related markets that will strengthen our product
      offerings. In addition, we are focused on acquisitions that may enhance our
      geographic operations. We also will continue to evaluate and monitor our
      existing business and product lines for growth and profitability potential.
      If
      we believe it necessary, we will deemphasize or divest product lines that we
      no
      longer believe can advance our strategic vision.





Our
      ability to implement our strategy effectively is subject to numerous
      uncertainties, the most significant of which are described below in “Risk
      Factors” in this Form 10-K. We cannot assure you that our efforts will be
      successful.





*Market
      Opportunity*





The
      Company’s primary focus is the China market. The success of the Company’s
      business is tied to the sheer size and vitality of the Chinese economy.
      According to government reports issued at the Tenth National People’s Congress
      of China in March 2006, China’s Gross Domestic Product, or GDP, was $2.2
      trillion in 2005 and is targeted to grow at 7.5% over the next five years,
      making China one of the largest and fastest growing economies in the world.
      The
      growth of China’s economy and its expanding middle class has meant tremendous
      opportunities in its MVA market. According to the China Internet Network
      Information Center (CNNIC) at the end of 2005, China had approximately
      111 million Internet users, up 18% from one year ago, making it the
      second-largest Internet user base in the world, behind the U.S. According to
      analysts’ estimates, the number of Chinese Internet users is projected to reach
      338 million by 2010. The growth of the Internet in China has been driven by
      the increasing availability of Internet connected personal computers. In its
      17th China Internet Development Report, CNNIC reported that by December 31,
      2005 China had 49.5 million Internet connected personal computers,
      representing a 19% year-over-year increase.





The
      mobile service sector in China also represents an important market for AMT,
      as
      China has the largest number of mobile phone users in the world. According
      to
      the Ministry of Information Industry, at the end of 2005 China had
      393 million mobile phone users, representing a 30% penetration rate. The
      wide user base combined with the growth potential makes China’s mobile service
      sector a vital and attractive market segment for AMT.





Broadband
      adoption continued to increase in 2005. According to CNNIC, as of
      December 2005, China had 64.3 million broadband users, representing
      50% growth from one year ago. The rapid rise in broadband access will allow
      us
      to provide richer and more diversified services across our products delivered
      online.





Page
          15
          of 53





*Competition*





There
      is
      significant competition among MVAS providers. A large number of independent
      MVAS
      providers compete against us. We may be unable to continue to grow our revenues
      from these services in this competitive environment. In addition, the major
      mobile operators in China, China Mobile and China Unicom, may potentially enter
      the business of content development. Any of our present or future competitors
      may offer MVAS which provide significant technology, performance, price,
      creativity or other advantages, over those offered by us, and therefore achieve
      greater market acceptance than ours.





The
      Chinese market for Internet content and services is competitive and rapidly
      changing. Barriers to entry are relatively low, and current and new competitors
      can launch new websites or services at a relatively low cost. Many companies
      offer Chinese language content and services, including informational and
      community features, fee-based services and email and electronic commerce
      services in the Greater China market that may be competitive with our offerings.
      In addition, providers of Chinese language Internet tools and services may
      be
      acquired by, receive investments from or enter into other commercial
      relationships with large, well-established and well-financed Internet, media
      or
      other companies. In addition, entities that sponsor or maintain high-traffic
      websites or provide an initial point of entry for Internet users, such as ISPs,
      including large, well-capitalized entities such as Microsoft (MSN), Yahoo!
      Inc.,
      eBay Inc., Google Inc. (“Google”) and America Online Inc, currently offer and
      could further develop or acquire content and services that compete with those
      that we offer. Companies such as these may have greater financial resources
      and
      assets, better brand recognition, more developed sales and other internal
      organizations, more customers and more extensive operating histories. As a
      result, such companies may be able to quickly provide competitive services
      and
      obtain a significant number of customers. We expect that as Internet and mobile
      telephone usage in Greater China increases and the Greater China market becomes
      more attractive to advertisers and for conducting electronic commerce, large
      global competitors may increasingly focus their resources on the Greater China
      market. In the areas of online games there is intense competition from domestic
      and international companies. These include domestic companies each focusing
      on
      one sector and large, international companies that intend to extend their
      businesses in the China market. The online gaming industry, for example, is
      dominated by domestic online game operators such as Shanda, Netease and The9.
      Many of our competitors have a longer history of providing these online services
      and currently offer a greater breadth of products which may be more popular
      than
      our product offerings. Many of these companies are focused solely on one area
      of
      our business and are able to devote all of their resources to that business
      area
      and to more quickly adapt to changing technology or market conditions. These
      companies may therefore have a competitive advantage over us with respect to
      these business areas. A number of our current and potential future competitors
      have greater financial and other resources than we have, and may be able to
      more
      quickly react to changing consumer requirements and demands, deliver competitive
      services at lower prices and more effectively respond to new Internet
      technologies or technical standards.





Many
      of
      AMT’s primary competitors are dependent on the cooperation arrangements with
      China Mobile Communication Corporation and its subsidiaries and China Unicom
      Co., Ltd. and its subsidiaries for the delivery of their products, services,
      customer billing and the collection of their fees. Our competitors rely on
      China
      Mobile and China Unicom in the following ways: utilizing their network and
      gateway to provide MVAS to subscribers; utilizing their billing systems to
      charge the fees to their customers through the customers’ mobile phone bill;
      utilizing their collection services to collect payments from customers; and
      relying on their infrastructure development to further develop their new
      products and services. If either China Mobile or China Unicom chooses not to
      continue the cooperation arrangements with our competitors, their MVAS revenues
      and operating profitability could be materially and negatively affected.





It
      is
      possible and, even likely, that through the use of cooperation arrangements
      with
      China Mobile and China Unicom we could experience a more rapid growth of our
      core business through an immediate increase in our potential customer base.
      However, we believe that given our commitment to and, use of, our own direct
      distribution network for the sale and dissemination of our Wireless Applications
      and Hardware Products, exclusive of third party purveyors such as China Mobile
      and China Unicom and the cost affiliated with the use of their services, we
      will, in the long run, have gained a distinct advantage over many of our
      competitors by avoiding such cooperation arrangements for the following reasons:




·
            China
                Mobile and China Unicom may choose to increase the fees charged for
                providing their services in the future, and if they choose to increase
                such fees, our competitors gross margin for MVAS and operating
                profitability may be negatively impacted. Based on the arrangements
                with
                China Mobile and its subsidiaries, China Mobile generally retains
                15% of
                the fee for content value-added services our competitors provide
                to their
                users via their platform for fee collection. In addition, China Mobile
                deducts transmission fees from our competitors portion of the service
                fees. The amount of such transmission fee is charged on a per message
                basis and varies for different products and the message volume. For
                the
                fiscal years 2005 and 2004, some of our competitors received on average
                75% and 77%, respectively, of the amount they charged to their users
                from
                the China Mobile platform after China Mobile deducted the fees for
                collection and transmission. Based on the arrangements with China
                Unicom
                and its subsidiaries, China Unicom typically retains 20% of the fee
                for
                content value-added services some of our competitors provide to their
                users via their platform if they charge our competitors for transmission
                cost or between 21% and 29% if they do not charge some of our competitors
                for transmission cost. For fiscal years 2005 and 2004, our competitors
                received on average 69% and 72%, respectively, of the amount they
                charged
                to their users from the China Unicom platform after China Unicom
                deducted
                the fees for collection and transmission.




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·
            Our
                competitors mobile operators could make further changes at any time,
                including requiring service providers (SP’s) to use the mobile operators’
                customer service and/or marketing service and charging for these
                services;
                implementing new billing rules, such as reducing MVAS fees that can
                be
                charged to users, disallowing SPs to bill certain inactive users
                and
                limiting the amount of MVAS fees that can be billed; issuing new
                rules on
                how WAP SPs are placed on their browsers, which significantly determines
                WAP revenues; and limiting the product offerings of SPs by working
                directly with content providers to launch competing services or giving
                exclusive rights to certain SPs to offer certain MVAS. Any change
                in
                policy, process or system by the mobile operators could result in
                a
                material reduction of our MVAS revenues.





·
            If
                China Mobile or China Unicom restricts or disallows some or all MVAS
                to be
                charged on a monthly subscription basis, some of our competitors
                revenues
                from MVAS could be severely impacted. Many of our competitors currently
                charge their customers who have registered to be billed on a monthly
                basis
                even if they do not use the service in a particular month. If China
                Mobile
                or China Unicom does not allow the charging of monthly fees for users
                who
                do not use a competitors service in a particular month, some of our
                competitors MVAS revenues could be negatively impacted.




·
            In
                the past, China Mobile and China Unicom have imposed penalties on
                MVAS
                providers for violating certain operating policies relating to MVAS.
                In
                some cases, they stopped making payments to certain service providers
                for
                severe violations. To date, the penalties some of our competitors
                have
                received have been insignificant in dollar amounts , but it is difficult
                to determine the specific conduct that might be interpreted as violating
                such operating policies.





·
            Some
                of our competitors are subject to potential liability and penalty
                for
                delivering inappropriate content through their MVAS. One of the violations
                cited a notice for temporary termination of one of our competitors
                IVR
                service at the end of July 2004 was that they had provided
                inappropriate content to their mobile subscribers through their IVR
                service. The definition and interpretation of inappropriate content
                in
                many cases are vague and subjective. It is difficult with any precision
                to
                determine if and when mobile operators including China
              Mobile
                and China Unicom will find mobile content inappropriate and therefore
                prevent a cooperative arrangement partner from operating the MVAS
                relating
                to such content in the future which would cause revenues from MVAS
                will
                suffer significantly.





If
      China
      Mobile’s or China Unicom’s systems encounter technical problems, or if they
      refuse to cooperate with our competitors, some of our competitors’ MVAS
      offerings may cease or be severely disrupted, which could have a significant
      and
      adverse impact on their operating results.





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*Intellectual
      Property and Proprietary Rights*





We
      rely
      on a combination of copyright, trademark and trade secret laws and restrictions
      on disclosure to protect our intellectual property rights. Despite our efforts
      to protect our proprietary rights, unauthorized parties may attempt to copy
      or
      otherwise obtain and use our technology. Monitoring unauthorized use of our
      products is difficult and costly, and we cannot be certain that the steps we
      have taken will prevent misappropriations of our technology, particularly in
      foreign countries where the laws may not protect our proprietary
      rights.





In
      addition, third parties may initiate litigation against us alleging infringement
      of their proprietary rights. In the event of a successful claim of infringement
      and our failure or inability to develop non-infringing technology or license
      the
      infringed or similar technology on a timely basis, our business could be harmed.
      In addition, even if we are able to license the infringed or similar technology,
      license fees could be substantial and may adversely affect our results of
      operations. See “We may not be able to adequately protect our intellectual
      property, which could cause us to be less competitive” and “We may be exposed to
      infringement claims by third parties, which, if successful, could cause us
      to
      pay significant damage awards” under the Risk Factors section.





*Government
      Regulation and Legal Uncertainties*





*For
      a
      description of legal risks relating to our ownership structure and business,
      see
“Risk Factors.”*





*Overview*





The
      Chinese government has enacted an extensive regulatory scheme governing the
      operation of business with respect to the Internet, such as telecommunications,
      Internet information services, international connections to computer information
      networks, information security, censorship and administrative protection of
      copyright. Besides the Ministry of Information Industry, or MII, the various
      services of the PRC Internet industry are also regulated by various other
      governmental authorities, such as the State Administration for Industry and
      Commerce, or SAIC, the State Council Information Office, or SCIO, the General
      Administration for Press and Publication, or GAPP (formerly the State Press
      and
      Publications Administration, or SPPA), the Ministry of Education, or MOE, the
      Ministry of Culture, or MCPRC, the Ministry of Health, or MOH, and the Ministry
      of Public Security.





Among
      all
      the regulations, *the
      Telecommunications Regulations of the People’s Republic of
      China* ,
      or
      Telecom Regulations, promulgated on September 25, 2000, is the primary
      governing law. Telecom Regulations set out the general framework under which
      domestic Chinese companies such as AMT’s subsidiaries may engage in various
      types of telecommunications services in the PRC. They reiterate the
      long-standing principle that telecommunications service providers need to obtain
      operating licenses as a mandatory precondition to begin operation. The Telecom
      Regulations differentiate the telecommunications services into basic
      telecommunications services and value-added telecommunications services.
      Value-added telecommunications services are defined as telecommunications and
      information services provided through public networks. The “Catalogue of
      Telecommunications Business”, an attachment to the Telecom Regulations and
      updated by MII’s Notice on Adjusting the Catalogue of Telecommunications
      Business of April 1, 2003, categorizes various types of telecommunications
      and telecommunications-related activities into basic or value-added services.





On
      December 11, 2001, after China’s formal entry into the WTO, the PRC State
      Council promulgated the *Regulations
      for the Administration of Foreign-Invested Telecommunications
      Enterprises* ,
      or the
      FITE Regulations, which became effective on January 1, 2002. The FITE
      Regulations stipulate that foreign-invested telecommunications enterprises,
      or
      FITEs, may undertake operations in basic telecom services and value-added
      telecom services. Currently, the foreign party to a value-added FITE may hold
      up
      to 50% of the equity, with no geographic restrictions on its operations. Before
      that, foreign investors were prohibited from investing in Internet content
      services. The PRC government has not made any further commitment to loosen
      the
      regulation on FITEs.





According
      to the *Measures
      for the Administration of Internet Information Services described
      below* ,
      an
      enterprise must obtain a Value-added Telecommunication Services Operating
      License in the first place to conduct Internet content service businesses.
      When
      the Internet content involves areas of news, publishing, education, health
      care,
      medicine and medical equipment, which are regulated by the MCPRC, the GAPP,
      the
      MOE, the MOH and other governmental authorities, respectively (as the case
      may
      be), the enterprise must also obtain permission from the responsible authorities
      prior to its application for the ICP license.




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*PRC
      Corporate Structure*





Below
      are
      material wholly owned subsidiaries held by AMT in China:





·
            Main
                Glory Holdings Ltd., a Hong Kong Company (“Main
                Glory”)





·
            Shaanxi
                Jialong Hi-Tech Incorporated Company, a PRC Company
                (“Jialong”)





*MVAS*





On
      December 26, 2001, the MII published the *Administrative
      Measures for Telecommunication Business Operating Licenses* ,
      or the
      Telecom License Measures to supplement the FITE Regulations. The Telecom License
      Measures confirm that the MII is the competent approval authority for
      foreign-invested telecom enterprises. There are two types of telecom operating
      licenses in China (including FITEs): license for basic telecom services and
      license for value-added telecom services. Furthermore, a distinction is made
      as
      to whether a value-added telecom services license is granted for
“intra-provincial” or “trans-regional” (inter-provincial) activities. An
      appendix to the license will detail the permitted activities to be conducted
      by
      the enterprise. An approved telecom service operator must conduct its business
      (basic or value-added) in accordance with the specifications recorded on its
      Telecom Service Operating License. However, there are still ambiguities
      regarding the interpretation and application of the FITE Regulations.





*Results
      of Operations for the years ended December 31, 2006 and 2005.*




The
      following table sets forth selected statement of operations data as a percentage
      of revenues for the years indicated.





**Year
                Ended**
            
            **Year
                Ended****31-Dec-06**
            
            **31-Dec-05**Revenues
            
            
            100.00
            %
            
            100.00
            %Cost
                of revenues
            
            
            20.36
            %
            
            32.77
            %Gross
                margin
            
            
            79.64
            %
            
            67.23
            %Selling
                and distribution expenses
            
            
            13.03
            %
            
            10.05
            %General
                and administrative expenses
            
            
            14.01
            %
            
            11.84
            %Professional
                fees
            
            
            1.67
            %
            
            2.88
            %Consultancy
                fees
            
            
            -
            
            
            25.98
            %Depreciation
            
            
            1.49
            %
            
            1.90
            %Interest
                income
            
            
            0.37
            %
            
            0.40
            %Income
                tax expense
            
            
            -
            
            
            -Net
                income
            
            
            50.69
            %
            
            14.99
            %





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YEAR
      ENDED DECEMBER 31, 2006 COMPARED TO YEAR ENDED DECEMBER 31, 2005




*Revenues,
      Cost of Revenues and Gross Profit Margin*





Revenues
      increased from $4,515,395 in fiscal year 2005 to $6,427,893 in fiscal year
      2006.
      The increase was mainly attributable to the increase in sales of our Wireless
      Applications products where the fact that the network expansion of additional
      1200 was accomplished in the third and fourth quarters in this year,
      consequently led a significant increase, although there was a significant
      decrease in sales of our Hardware products. Since 2007, the management of the
      Company has ceased all Hardware Products business.




Revenue
                composition
            
            For
                the year ended December 31,
            
            Increase/Product
            
            2006
            
            2005
            
            (Decrease)Wireless
                entertainment Applications
            
            $
            6,300,919
            
            $
            3,207,397
            
            $
            3,093,522Hardware
            
            
            126,974
            
            
            1,307,998
            
            
            (1,181,024
            )TOTAL
            
            $
            6,427,893
            
            $
            4,515,395
            
            $
            1,912,498





Cost
      of
      revenues decreased from $1,479,580 for the fiscal year ended December 31, 2005
      to $1,308,468 for the fiscal year ended December 31, 2006. The decrease in
      cost
      of sales of our products was mainly due to the decrease in the cost of sales
      of
      our hardware products, where the management of the company has ceased all
      hardware products business since 2006.




**Cost
              of revenue**
            
            For
                the year ended December 31,
            
            Increase/Product
            
            2006
            
            2005
            
            (Decrease)Wireless
                entertainment Applications
            
            $
            1,226,349
            
            $
            608,493
            
            $
            617,856Hardware
            
            
            82,119
            
            
            871,087
            
            
            (788,968
            )TOTAL
            
            $
            1,308,468
            
            $
            1,479,580
            
            $
            (171,112
            )




Our
      gross
      profit for the year ended December 31, 2006 was $5,119,425, an increase of
      $2,083,610 as compared with $3,035,815 for the year ended December 31,
      2005.





Our
      overall gross profit margin increased from 67.23% for fiscal year 2005 to 79.64%
      for fiscal year 2006. Our gross profit margin for Wireless Applications
      decreased slightly from 81.03% for fiscal year 2005 to 80.54% for fiscal year
      2006 and for Hardware Products increased slightly from 33.40% for fiscal year
      2005 to 35.33% for fiscal year 2006. We haven’t made any changes so far in this
      year after restructuring of our Research & Development Department in 2005
      and maintained a constant gross profit margin for Wireless Applications for
      both
      fiscal years 2006 and 2005. The gross profit margin for Hardware Products
      increased since inventories were sold at higher prices than previous
      year.





*General
      and Administrative Expenses*





General
      and Administrative expenses were $ 900,655 for the year ended December 31,
      2006
      as compared to $ 534,530 for the year ended December 31, 2005. General and
      administrative expenses include directors’ expenses, printing, salaries and
      office expenses. The increase in general and administrative expenses was mainly
      due to the increase in the following expenses:




1.
            Directors'
                expenses
            :
            These
                represent traveling and entertainment costs incurred by the directors




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          20
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2.
            Traveling
                expenses
            :
            We
                incurred large amount of traveling expenses in 2006 for our management
                to
                participate in some important conferences among cities in
                China.3.
            Office
                expenses
            :
            These
                include water and electricity and building management fees.4.
            Entertainment
                expenses
            :
            These
                reflect the increased entertainment expense incurred to meet our
                potential
                clients by our management.5.
            Research
                and development expenses
            :
            We
                increased the investment in R&D to develop diversified products and
                improve our products quality as well.


As
      a
      percentage of net sales, general and administration expenses were 14.01% and
      11.84% in fiscal years 2006 and 2005 respectively and increased
      slightly.





*Selling
      and Distribution Expenses*





Selling
      and distribution expenses amounted to $ 837,404 for the year ended December
      31,
      2006, an increase of $383,731 from $ 453,673 for the year ended December 31,
      2005. Selling and distribution expenses include salaries, general travel,
      postage, and office expenses. The increase in our selling and distribution
      expenses in 2006 over 2005 was mainly due to the expansion of our Wireless
      Applications business which resulted in increase in traveling and entertainment
      expenses incurred by the sales personnel, also we incurred an increase in
      advertising expenses to promote and enhance our brand-awareness. Exhibition
      expenses incurred a large increase because of the exhibition we held in ChinaJoy
      in Shanghai, China this year. Postage expenses also increased as we incurred
      large amount of postage expenses in 2006 for delivery of gift items and our
      brochure to our potential and existing customers for promotion purposes. As
      a
      percentage of net sales, selling and distribution expenses were 13.03% and
      10.05% in fiscal years 2006 and 2005 respectively and increased
      reasonably.





*Professional
      Fees and Consultancy Fees*





We
      incurred professional fees of $107,080 in 2006 for filing our normally forms
      to
      pursuant to SEC.





*Other
      Income*





We
      received interest income of $23,760 and $15,943 and rental income of $52,870
      and
      $0 in fiscal years 2006 and 2005 respectively. The increase in interest income
      was due to cash generated from our daily operation in 2006 and deposits at
      banks
      increased. We received rental income from subleasing the spaces of some rented
      kiosks to third parties in 2006. No such rental arrangement was entered into
      in
      2005.





*Liquidity
      and Capital Resources*




*Cash*




Our
      cash
      balance amounted to $ 6,561,239 as of December 31, 2006 with an increase of
      $84,588 as compared with $ 6,476,651 as of December 31, 2005. The increase
      was
      principally attributable to the cash generated from our profitable
      operation.




For
      the
      year ended December 31, 2006, our cash provided by operating activities amounted
      to $1,938,257 as compared to $2,892,479 for the year ended December 31, 2005.
      The decrease was mainly due to the fact that we paid deposits of $2,693,598
      for
      leasing 1200 downloading terminals to expand our network.  Moreover,
      we reduced our inventory level significantly from $54,505 as of December 31,
      2005 to $23,422 as of December 31, 2006 so as to reserve our resources for
      the
      expansion of Wireless Applications business.





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Net
      cash
      used in investing activities amounted to $1,756,560 in fiscal year 2006 as
      a
      result of payments to acquire property and equipment to expand our distribution
      network as well as payments to acquire intangible assets, and the repayments
      of
      note receivable.





*Working
      Capital*




As
      of
      December 31, 2006, we had cash and cash equivalents of $6,561,239, other current
      assets of $2,882,056 and current liabilities of $2,195,219. We believe we have
      sufficient cash to continue our current business. However, additional funds
      from
      sources other than operating activities have to be obtained if we wish to grow
      our business. We estimate that the expansion and upgrading
      of our existing technological platforms such as our MIESP so as to allow our
      customers easy, immediate and affordable access to our products together with
      subsequent development and marketing expenses will cost us approximately
      $10,000,000. W e
      plan to
      finance this expenditure through the issuance of debt or equity
      securities.





*Critical
      Accounting Policies*





Management's
      discussion and analysis of its financial condition and results of operations
      are
      based upon the Company's consolidated financial statements, which have been
      prepared in accordance with United States generally accepted accounting
      principles. The Company's financial statements reflect the selection and
      application of accounting policies which require management to make significant
      estimates and judgments. See note 2 to the Company's consolidated financial
      statements, "Summary of Significant Accounting Policies". Management bases
      its
      estimates on historical experience and on various other assumptions that are
      believed to be reasonable under the circumstances. Actual results may differ
      from these estimates under different assumptions or conditions. The Company
      believes that the following reflect the more critical accounting policies that
      currently affect the Company's financial condition and results of
      operations:





*Accounts
      receivable*





The
      Company extends unsecured credit to its customers in the ordinary course of
      business but mitigates the associated risks by performing credit checks and
      actively pursuing past due accounts. An allowance for doubtful accounts is
      established and recorded based on managements’ assessment of the credit history
      with the customer and current relationships with them.





*Long-lived
      Assets*





The
      Company accounts for long-lived assets under the Statements of Financial
      Accounting Standards Nos. 142 and 144 “Accounting for Goodwill and Other
      Intangible Assets” and “Accounting for Impairment or Disposal of Long-Lived
      Assets” (“SFAS No. 142 and 144”). In accordance with SFAS No. 142 and 144,
      long-lived assets, goodwill and certain identifiable intangible assets held
      and
      used by the Company are reviewed for impairment annually or more frequently
      if
      events or changes in circumstances indicate that the carrying amount of an
      asset
      may not be recoverable. For purposes of evaluating the recoverability of
      long-lived assets, when undiscounted future cash flows will not be sufficient
      to
      recover an asset’s carrying amount, the asset is written down to its fair value.
      The Company believes that no impairment of property and equipment and intangible
      assets exist at December 31, 2006.





*Revenue
      recognition*





The
      Company recognizes revenue from the sale of hardware and wireless entertainment
      applications.





Revenue
      is recognized from the sale of hardware at the time title to the products
      transfers, the amount is fixed and determinable, evidence of an agreement
      exists, and the customer bears the risk of loss. Revenue is recorded net of
      estimated provisions for returns, rebates and sales allowances.





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Revenue
      from wireless entertainment applications download fees is based on a single
      fee
      per downloaded application or bundle of applications. Download fees are assessed
      on a per download basis for each game or bundle of games downloaded to a
      consumer’s mobile phone. Ring-tones and other features operate on the same
      basis. Revenue is recognized by delivery and acceptance of an application
      download to the end user. The Company reports to the owners of the downloading
      terminals the product and dollar amount of revenue earned and remits the agreed
      upon price for each download to the terminal owners. The Company records its
      revenue net of downloading terminals’ owners fees.





*Property
      and equipment*





Property
      and equipment are stated at cost, less accumulated depreciation. Expenditures
      for additions, major renewals and betterments are capitalized and expenditures
      for maintenance and repairs are charged to expense as incurred.





Depreciation
      is provided on a straight-line basis, less estimated residual value over the
      asset’s estimated useful lives.





*Income
      taxes*





The
      Company accounts for income taxes under the Statement of Financial Accounting
      Standards No. 109, “Accounting for Income Taxes” (“Statement 109”). Under
      Statement 109, deferred tax assets and liabilities are recognized for the future
      tax consequences attributable to differences between the financial statement
      carrying amounts of existing assets and liabilities and their respective tax
      bases. Deferred tax assets and liabilities are measured using enacted tax rates
      expected to apply to taxable income in the years in which those temporary
      differences are expected to be recovered or settled. Under Statement 109, the
      effect on deferred tax assets and liabilities of a change in tax rates is
      recognized in income in the period that included the enactment date.





*Off-Balance
      Sheet arrangements*





The
      Company has not engaged in any off-balance sheet transactions since its
      inception.





*Recent
      Accounting Pronouncements*





In
      February 2006, the Financial Accounting Standards Board (“FASB”) issued SFAS No.
      155 “Accounting for Certain Hybrid Financial Instruments: an amendment of FASB
      Statements No. 133 and 140”. SFAS No. 155 simplifies the accounting for certain
      derivatives embedded in other financial instruments by allowing them to be
      accounted for as a whole if the holder elects to account for the whole
      instrument on a fair value basis. SFAS No. 155 also clarifies and amends certain
      other provisions of SFAS No. 133 and SFAS No. 140. SFAS No. 155 is effective
      for
      all financial instruments acquired, issued or subject to a remeasurement event
      occurring in fiscal years beginning after September 15, 2006. Earlier adoption
      is permitted, provided the entity has not yet issued financial statements,
      including for interim periods, for that fiscal year. The Company does not expect
      the adoption of SFAS No. 155 to have a material impact on our financial
      position, as its currently has no financial instruments within the scope of
      SFAS
      No. 155.





In
      March
      2006, the FASB released SFAS No. 156 “Accounting for Servicing of Financial
      Assets: an amendment of FASB Statement No. 140” to simplify accounting for
      separately recognized servicing assets, servicing liabilities. SFAS No. 156
      permits an entity to choose either the amortization method or the fair value
      measurement method for measuring each class of separately recognized servicing
      assets and servicing liabilities after they have been initially measured at
      fair
      value. SFAS No. 156 applies to all separately recognized servicing assets and
      liabilities acquired or issued after the beginning of an entity’s fiscal year
      that begins after September 15, 2006. The Company does not anticipate the
      adoption of SFAS No. 156 will have a material impact on its consolidated
      financial statements.





In
      July
      2006, the FASB issued FIN 48 “Accounting for Uncertainty in Income Taxes.” This
      interpretation requires that the entity recognize in its financial statements
      the impact of a tax position, if that position is more likely than not of being
      sustained on audit, based on the technical merits of the position. The
      provisions of FIN 48 is effective for fiscal years beginning after December
      15,
      2006, with the cumulative effect of the change in accounting principle recorded
      as an adjustment to opening retained earnings. The Company is currently
      evaluating the impact of adopting FIN 48 on its consolidated financial
      statements.




Page
          23
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In
      September 2006, the FASB issued SFAS No. 157 “Fair Value Measurements”. SFAS No.
      157 defines fair values, establishes a framework for measuring fair value,
      and
      expands disclosures about fair value measurements. This Statement shall be
      effective for financial statements issued for fiscal years beginning after
      November 25, 2007, and interim periods within those fiscal years. Earlier
      application is encouraged provided that the reporting entity has not yet issued
      financial statements for that fiscal year, including financial statements for
      an
      interim period with that fiscal year. The provisions of this statement should
      be
      applied, except in some circumstances where the statement shall be applied
      retrospectively. The Company is currently evaluating the impact of adopting
      SFAS
      No. 157 on its consolidated financial statements.





In
      September 2006, the FASB issued SFAS No. 158 “Employers’ Accounting for Defined
      Benefit Pension and Other Postretirement Plans : an amendment of FASB Statements
      No. 87, 88, 106 and 132 (R)” which requires an employer to recognize the over
      funded or under funded status of defined benefit and other postretirement plans
      as an assets or liability in its statement of financial position and to
      recognize changes in that funded status in the year in which the changes occur
      through and adjustment to comprehensive income. This statement also requires
      an
      employer to measure the funded status of a plan as of the date of its year-end
      statement of financial positions, which limited exceptions. The company is
      currently evaluating the impact of adopting SFAS No. 158 on its consolidated
      financial statements.





In
      September 2006, the SEC issued SAB No. 108, which provides guidance on the
      process of quantifying financial statement misstatements. In SAB No. 108, the
      SEC staff establishes an approach that requires quantification of financial
      statements errors, under both the iron-curtain and the roll-over methods, based
      on the effects of the error on each of the Company’s financial statements and
      the related financial statement disclosures. SAB No. 108 is generally effective
      for annual financial statements in the first fiscal year ending after November
      15, 2006. The transition provisions of SAB No. 108 permits existing public
      companies to record the cumulative effect in the first year ending after
      November 15, 2006 by recording correcting adjustments to the carrying values
      of
      assets and liabilities as of the beginning of that year with the offsetting
      adjustment recorded to the opening balance of retained earnings. Management
      does
      not expect that the adoption of SAB No. 108 would have a material effect on
      the
      Company’s consolidated financial statements.





Page
          24
          of 53





**ITEM
      7. Financial Statements**





**REPORT
      OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM**





To
      the
      Board of Directors and Stockholders of


Along
      Mobile Technologies, Inc.





We
      have
      audited the accompanying consolidated balance sheet of Along Mobile
      Technologies, Inc. and its subsidiaries as of December 31, 2006, and the related
      consolidated statements of operations, stockholders’ equity and cash flows for
      the year then ended. These financial statements are the responsibility of the
      Company’s management. Our responsibility is to express an opinion on these
      financial statements based on our audit.





We
      conducted our audit in accordance with the standards of the Public Company
      Accounting Oversight Board (United States). Those standards require that we
      plan
      and perform the audit to obtain reasonable assurance about whether the financial
      statements are free of material misstatement. An audit includes examining,
      on a
      test basis, evidence supporting the amounts and disclosures in the financial
      statements. An audit also includes assessing the accounting principles used
      and
      significant estimates made by the management, as well as evaluating the overall
      financial statement presentation. We believe that our audit provides a
      reasonable basis for our opinion.





In
      our
      opinion, the financial statements referred to above present fairly, in all
      material respects, the consolidated financial position of Along Mobile
      Technologies, Inc. and its subsidiaries as of December 31, 2006, and the
      consolidated results of their operations and their cash flows for the year
      then
      ended, in conformity with accounting principles generally accepted in the United
      States of America.





/s/
      PKF





PKF


Certified
      Public Accountants


Hong
      Kong, China


February
      9, 2007




Page
          25
          of 53




logo
            **Jimmy
                C.H. Cheung & Co**
              *Certified
                Public Accountants*
              *(A
                member of Kreston International)*
            Registered
                with the Public Company
              AccountingOversight
                Board




**REPORT
      OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM**





To
      the
      Board of Directors and Stockholders of


Along
      Mobile Technologies, Inc.


(Formerly
      International Synergy Holding Company, Ltd.) and Subsidiaries





We
      have
      audited the accompanying balance sheet of Along Mobile Technologies, Inc.
      (formerly International Synergy Holding Company, Ltd.) and subsidiaries as
      of
      December 31, 2005 (consolidated) and the related statements of operations and
      comprehensive income, changes in stockholders’ equity and cash flows for the
      years ended December 31, 2005 (consolidated) .
      These
      financial statements are the responsibility of the Company’s management. Our
      responsibility is to express an opinion on these financial statements based
      on
      our audits.





We
      conducted our audits in accordance with the standards of the Public Company
      Accounting Oversight Board (United States). Those standards require that we
      plan
      and perform the audits to obtain reasonable assurance about whether the
      financial statements are free of material misstatement. An audit includes
      examining, on a test basis, evidence supporting the amounts and disclosures
      in
      the financial statements. An audit also includes assessing the accounting
      principles used and significant estimates made by management, as well as
      evaluating the overall financial statement presentation. We believe that our
      audits of the financial statements provide a reasonable basis for our opinion.





In
      our
      opinion, the financial statements referred to above present fairly, in all
      material respects, the financial position of Along Mobile Technologies, Inc.
      (formerly International Synergy Holding Company, Ltd.) and subsidiaries, as
      of
      December 31, 2005 (consolidated), and the results of its operations and its
      cash
      flows for the years ended December 31, 2005 (consolidated), in conformity with
      accounting principles generally accepted in the United States of America.




**JIMMY
      C.H. CHEUNG & CO**


Certified
      Public Accountants




Hong
      Kong





Date:
      June 26, 2006




Page
          26
          of 53




**ALONG
      MOBILE TECHNOLOGIES, INC.**


**CONSOLIDATED
      BALANCE SHEETS**


**(Stated
      in US Dollars)**





As
                of December 31,2006
            
            2005**ASSETS**Current
                AssetsCash
                and cash equivalents
            
            $
            6,561,239
            
            $
            6,476,651Accounts
                receivable (net of allowance for doubtful accountsof
                $382 in 2006, $Nil in 2005)
            
            
            64,076
            
            
            147,899Inventories
                (Note 8)
            
            
            32,421
            
            
            54,505Deposits
                paid (Note 9)
            
            
            2,750,240
            
            
            -Note
                receivable
            
            
            -
            
            
            1,237,624Other
                receivables (Note 10)
            
            
            35,319
            
            
            14,177Total
                Current Assets
            
            
            9,443,295
            
            
            7,930,856Property
                and equipment, net (Note 11)
            
            
            4,186,065
            
            
            1,866,865Intangible
                assets, net (Note 12)
            
            
            2,119,030
            
            
            925,925**TOTAL
                ASSETS**
            
            $
            15,748,390
            
            $
            10,723,646**LIABILITIES
                AND STOCKHOLDERS’ EQUITY**Current
                LiabilitiesAccounts
                payable
            
            $
            10,726
            
            $
            10,377Receipt
                in advance
            
            
            31,903
            
            
            -Deposits
                received (Note 13)
            
            
            447,713
            
            
            -Other
                payables and accrued liabilities (Note 14)
            
            
            752,729
            
            
            533,961Value
                added tax payable
            
            
            788,602
            
            
            633,342Other
                taxes payable
            
            
            163,546
            
            
            44,123Accrued
                dividends payable
            
            
            -
            
            
            309,406**TOTAL
                LIABILITIES**
            
            
            2,195,219
            
            
            1,531,209**COMMITMENTS
                AND CONTINGENCIES (NOTE 15)**
            
            
            -
            
            
            -**STOCKHOLDERS’
                EQUITY**Common
                stock (Note 16)
            
            
            70,600
            
            
            70,000Additional
                paid-in capital (Note 17)
            
            
            8,045,085
            
            
            7,409,685Retained
                earnings
            
            
            3,949,214
            
            
            1,188,360Statutory
                and other reserves (Note 19)
            
            
            1,045,174
            
            
            547,895Accumulated
                other comprehensive income (loss) (Note 20)
            
            
            443,098
            
            
            (23,503
            )**TOTAL
                STOCKHOLDERS’ EQUITY**
            
            
            13,553,171
            
            
            9,192,437**TOTAL
                LIABILITIES AND STOCKHOLDERS’ EQUITY**
            
            $
            15,748,390
            
            $
            10,723,646





See
      notes
      to consolidated financial statements




Page
          27
          of 53




**ALONG
      MOBILE TECHNOLOGIES, INC.**


**CONSOLIDATED
      STATEMENTS OF OPERATIONS**


**(Stated
      in US Dollars)**





Year
                ended December 31,2006
            
            2005Revenues
                (Note 3)
            
            $
            6,427,893
            
            $
            4,515,395Cost
                of revenues
            
            
            (1,308,468
            )
            
            (1,479,580
            )Gross
                profit
            
            
            5,119,425
            
            
            3,035,815Operating
                expensesSelling
                and distribution
            
            
            837,404
            
            
            453,673General
                and administrative
            
            
            900,655
            
            
            534,530Professional
                fees
            
            
            107,080
            
            
            130,000Consultancy
                fees
            
            
            -
            
            
            1,173,000Depreciation
                (Note 11)
            
            
            95,616
            
            
            85,929Total
                expenses
            
            
            1,940,755
            
            
            2,377,132Income
                before the following items and taxes
            
            
            3,178,670
            
            
            658,683Interest
                income
            
            
            23,759
            
            
            18,106Other
                income
            
            
            55,832
            
            
            -Finance
                cost (Note 5)
            
            
            (128
            )
            
            -Income
                before income taxes
            
            
            3,258,133
            
            
            676,789Income
                taxes (Note 6)
            
            
            -
            
            
            -Net
                income
            
            $
            3,258,133
            
            $
            676,789Earnings
                per share - basic and diluted (Note 7)
            
            $
            0.046
            
            $
            0.012Weighted
                average number of common stock outstanding
            
            
            70,207,123
            
            
            58,060,882




See
      notes
      to consolidated financial statements




Page
          28
          of 53




**ALONG
      MOBILE TECHNOLOGIES, INC.**


**CONSOLIDATED
      STATEMENTS OF STOCKHOLDERS’ EQUITY**


**(Stated
      in US Dollars)**





AccumulatedAdditional
            
            
            
            Statutory
            
            otherCommon
                stock
            
            paid-in
            
            Retained
            
            and
                other
            
            comprehensiveNo.
                of shares
            
            Amount
            
            capital
            
            earnings
            
            reserves
            
            (loss)
                income
            
            TotalBalance,
                January 1, 2005
            
            
            56,911,443
            
            $
            56,911
            
            $
            6,217,566
            
            $
            808,846
            
            $
            250,620
            
            $
            (149,465
            )
            $
            7,184,478Contribution
                by a stockholder
            
            
            -
            
            
            -
            
            
            1,281
            
            
            -
            
            
            -
            
            
            -
            
            
            1,281Stock
                issued in recapitalization
            
            
            6,188,557
            
            
            6,189
            
            
            (6,189
            )
            
            -
            
            
            -
            
            
            -
            
            
            -Issuance
                of common stock for services
            
            
            6,900,000
            
            
            6,900
            
            
            1,166,100
            
            
            -
            
            
            -
            
            
            -
            
            
            1,173,000In-kind
                contribution
            
            
            -
            
            
            -
            
            
            30,927
            
            
            -
            
            
            -
            
            
            -
            
            
            30,927Comprehensive
                incomeNet
                income
            
            
            -
            
            
            -
            
            
            -
            
            
            676,789
            
            
            -
            
            
            -
            
            
            676,789Foreign
                currency translationadjustments
            
            
            -
            
            
            -
            
            
            -
            
            
            -
            
            
            -
            
            
            125,962
            
            
            125,962Total
                comprehensive income
            
            
            
            
            
            
            
            
            
            
            
            
            
            
            
            
            
            
            
            
            802,751Appropriation
                to reserves
            
            
            
            
            
            -
            
            
            -
            
            
            (297,275
            )
            
            297,275
            
            
            -
            
            
            -Balance,
                December 31, 2005
            
            
            70,000,000
            
            
            70,000
            
            
            7,409,685
            
            
            1,188,360
            
            
            547,895
            
            
            (23,503
            )
            
            9,192,437Issuance
                of common stock foracquisition
                of an intangible asset
            
            
            600,000
            
            
            600
            
            
            635,400
            
            
            --
            
            
            -
            
            
            -
            
            
            636,000Comprehensive
                incomeNet
                income
            
            
            -
            
            
            -
            
            
            -
            
            
            3,258,133
            
            
            -
            
            
            -
            
            
            3,258,133Foreign
                currency translationadjustments
            
            
            -
            
            
            -
            
            
            -
            
            
            -
            
            
            -
            
            
            466,601
            
            
            466,601Total
                comprehensive income
            
            
            
            
            
            
            
            
            
            
            
            
            
            
            
            
            
            
            
            
            3,724,734Appropriation
                to reserves
            
            
            -
            
            
            -
            
            
            -
            
            
            (497,279
            )
            
            497,279
            
            
            -
            
            
            -**Balance,
                December 31, 2006**
            
            
            **70,600,000**
            
            **$**
            **70,600**
            
            **$**
            **8,045,085**
            
            **$**
            **3,949,214**
            
            **$**
            **1,045,174**
            
            **$**
            **443,098**
            
            **$**
            **13,553,171**




See
      notes
      to consolidated financial statements




Page
          29
          of 53




**ALONG
      MOBILE TECHNOLOGIES, INC.**


**CONSOLIDATED
      STATEMENTS OF CASH FLOWS**


**(Stated
      in US Dollars)**





Year
                ended December 31,2006
            
            2005**Cash
                flows from operating activities**Net
                income
            
            $
            3,258,133
            
            $
            676,789Adjustments
                to reconcile net income to net cashprovided
                by operating activities:In-kind
                contribution
            
            
            -
            
            
            30,927Amortization
                on intangible assets
            
            
            148,981
            
            
            120,773Depreciation
                on property and equipment
            
            
            217,189
            
            
            85,929Issuance
                of common stock for services
            
            
            -
            
            
            1,173,000Changes
                in operating assets and liabilitiesAccounts
                receivable
            
            
            86,961
            
            
            (11,686
            )Inventories
            
            
            23,422
            
            
            253,383Deposits
                paid
            
            
            (2,693,598
            )
            
            -Other
                receivables
            
            
            (20,241
            )
            
            (9,304
            )Accounts
                payable
            
            
            -
            
            
            (2,253
            )Receipt
                in advance
            
            
            31,246
            
            
            -Deposits
                received
            
            
            438,493
            
            
            -Other
                payables and accrued liabilities
            
            
            200,924
            
            
            264,967Value
                added tax payable
            
            
            131,234
            
            
            282,696Other
                taxes payable
            
            
            115,513
            
            
            19,784Accrued
                dividends payable
            
            
            -
            
            
            7,474Net
                cash flows provided by operating activities
            
            
            1,938,257
            
            
            2,892,479**Cash
                flows from investing activities**Payments
                to acquire property and equipment
            
            
            (2,381,535
            )
            
            (55,487
            )Payments
                to acquire intangible assets
            
            
            (627,861
            )
            
            -Repayments
                of note receivable
            
            
            1,252,836
            
            
            -Increase
                in note receivable
            
            
            -
            
            
            (512,986
            )Net
                cash flows used in investing activities
            
            
            (1,756,560
            )
            
            (568,473
            )**Cash
                flows from financing activities**Contribution
                by a stockholder
            
            
            -
            
            
            1,281Dividend
                paid
            
            
            (313,209
            )
            
            -Net
                cash flows (used in) provided by financing activities
            
            
            (313,209
            )
            
            1,281Effect
                of foreign currency translation on cash and cash
                equivalents
            
            
            216,100
            
            
            125,962Net
                increase in cash and cash equivalents
            
            
            84,588
            
            
            2,451,249Cash
                and cash equivalents, beginning of year
            
            
            6,476,651
            
            
            4,025,402Cash
                and cash equivalents, end of year
            
            $
            6,561,239
            
            $
            6,476,651





See
      notes
      to consolidated financial statements




Page
          30
          of 53




**ALONG
      MOBILE TECHNOLOGIES, INC.**


**NOTES
      TO CONSOLIDATED FINANCIAL STATEMENTS**


**(Stated
      in US Dollars)**





**1.** **Corporation
      information**





(a)
            Along
                Mobile Technologies, Inc. (“AGMB” or the “Company”) was originally
                organized in the State of Utah in 1976 as Merit Diversified International,
                Inc. and subsequently reincorporated in the State of Nevada on August
                9,
                1994. Since its inception, AGMB has made several attempts to acquire
                and
                operate various businesses and has gone through several reorganizations
                and name changes.





On
      January 11, 2002, AGMB acquired 100% of the outstanding stock of AppleJuice
      Productions, Inc. (“AppleJuice”), a Michigan corporation founded on November 18,
      1987. It was acquired for its name and connections in the entertainment industry
      to complement the intangible assets owned by the Company. On November 28, 2005,
      the Directors of AGMB resolved to spin-off one hundred percent of the common
      stock of AppleJuice to the Company’s stockholders on the basis of one share of
      common stock of the subsidiary for every one share of common stock of the
      Company held of record on November 27, 2005.





The
      Company currently has two wholly-owned subsidiaries, namely Main Glory Holdings
      Limited (“Main Glory”) and Shaanxi Jialong Hi-Tech Incorporated Company
      (“Jialong”).





Main
      Glory was incorporated in Hong Kong on July 13, 2005 as an investment holding
      company. Jialong was established as a joint stock company in the People’s
      Republic of China (the “PRC”) on December 28, 2000 with its principal place of
      business in Xian, Shaanxi Province, the PRC. Jialong is a mobile high-technology
      corporation in the PRC. It is principally engaged in producing and selling
      wireless entertainment applications including ring-tones, games, images and
      e-books services for mobile devices through its unique downloading terminals.
      Jialong is also engaged in the research, development and sale of hardware
      including routers, firewalls, downloading terminals, PMP, MP3 and
      MP4.





AGMB,
      Main Glory and Jialong are hereafter collectively referred to as the
“Group”.





(b)
            On
                November 23, 2005, the stockholders of Jialong entered into a definitive
                agreement with Main Glory in which they exchanged 100% of their ownership
                of Jialong for 100% of ownership in Main Glory. As both companies
                are
                under common management, the exchange of shares has been accounted
                for as
                a reorganization of entities and the financial statements of Main
                Glory
                have been prepared as if the reorganization had occurred
                retroactively.





On
      December 1, 2005, the Company changed its name from International Synergy
      Holding Company, Ltd. to Along Mobile Technologies, Inc. and acquired all the
      issued and outstanding shares of Main Glory by issuing 56,911,443 shares of
      its
      common stock to the stockholders of Main Glory and 6,900,000 shares of its
      common stock to a third party consultant under an exchange
      agreement.




Page
          31
          of 53




The
      merger of AGMB and Main Glory was treated for accounting purposes as a capital
      transaction and recapitalization by Main Glory (“the accounting acquirer”) and
      re-organization by AGMB (“the accounting acquiree”). The 2005 consolidated
      financial statements of AGMB were prepared as if the re-organization had
      occurred retroactively. The consolidated balance sheet consisted of the net
      assets of the acquirer and acquiree at historical cost and the consolidated
      statement of operation included the operations of the acquirer for the year
      presented and the operations of the acquiree from the date of the
      merger.





**2.**  **Description
      of business**





The
      Company is a mobile value-added services (“MVAS”) provider in the PRC. The
      Company designs, produces, publishes, manufactures, provides and distributes
      proprietary wireless entertainment applications such as ring-tones, games
      images, videos and e-books (“Wireless Applications”) to its customers. The
      Company also designs and distributes portable digital hardware products such
      as
      MP3, MP4 and PMP’s (“Hardware Products”) which, together with mobile
      communication devices manufactured and/or distributed by unaffiliated third
      party manufacturers and distributors of such products, may be used in
      conjunction with the Company’s proprietary Wireless Applications. The Wireless
      Applications are intended to be downloaded by customers on a fee-basis by means
      of the Company’s proprietary public download terminals (“Terminals”) which are
      installed by the Company in strategic locations such as shopping centers,
      universities, entertainment centers, cinemas, hotels, airports, restaurants
      and
      parks and additionally, through the Company’s customers access to and, use of,
      the Internet. The customers for the Company’s Wireless Applications include
      anyone in Greater China who has a mobile telephone or other personal digital
      assistant communications devices. The customers for the Company’s Hardware
      Products are targeted throughout Greater China and these customers can purchase
      the Company’s Hardware Products through non-affiliated resellers and retailers
      located throughout China with whom the Company has established working
      agreements.





**3.**  **Summary
      of significant accounting policies**





Basis
      of presentation and consolidation





The
      accompanying consolidated financial statements of the Company have been prepared
      in accordance with generally accepted accounting principles in the United States
      of America.





The
      consolidated financial statements include the accounts of the Company and its
      subsidiaries. All significant inter-company accounts and transactions have
      been
      eliminated in consolidation.





Use
      of
      estimates





In
      preparing financial statements in conformity with accounting principles
      generally accepted in the United States of America, management makes estimates
      and assumptions that affect the reported amounts of assets and liabilities
      and
      disclosures of contingent assets and liabilities at the dates of the
      consolidated financial statements, as well as the reported amounts of revenues
      and expenses during the reporting periods. These accounts and estimates include,
      but are not limited to, the valuation of accounts receivable, inventories and
      the estimation on useful lives of property, plant and equipment and intangible
      assets. Actual results could differ from those estimates.




Page
          32
          of 53




Concentrations
      of credit risk





Financial
      instruments that potentially subject the Company to significant concentrations
      of credit risk consist principally of cash and cash equivalents and accounts
      and
      other receivables. As of December 31, 2006, substantially all of the Company’s
      cash and cash equivalents were held by major financial institutions located
      in
      the PRC, which management believes are of high credit quality. With respect
      to
      accounts receivable, the Company extends credit based on an evaluation of the
      customer’s financial condition, generally without requiring collateral. The
      Company maintains an allowance for doubtful accounts of accounts and other
      receivables.





During
      the reporting periods, no customers contributed 10% or more of the Company’s
      consolidated revenue.





Cash
      and cash equivalents





Cash
      and
      cash equivalents include all cash, deposits in banks and other highly liquid
      investments with initial maturities of three months or less. As of December
      31,
      2006, the cash and cash equivalents were denominated in the Renminbi (“RMB”) and
      are not freely convertible into foreign currencies.





Accounts
      receivable





The
      Company extends unsecured credit to its customers in the ordinary course of
      business but mitigates the associated risks by performing credit checks and
      actively pursuing past due accounts. An allowance for doubtful accounts is
      established and recorded based on managements’ assessment of the credit history
      with the customers and current relationships with them.





Inventories





Inventories
      are stated at the lower of cost or market. Cost is determined on a weighted
      average basis and includes all expenditures incurred in bringing the goods
      to
      the point of sale and putting them in a saleable condition. In assessing the
      ultimate realization of inventories, the management makes judgments as to future
      demand requirements compared to current or committed inventory levels.





For
      the
      years ended December 31, 2006 and 2005, the Company did not have any obsolete
      inventories.





Property
      and equipment





Property
      and equipment are stated at cost less accumulated depreciation. Cost represents
      the purchase price of the asset and other costs incurred to bring the asset
      into
      its existing use.





Depreciation
      is provided to write off the cost of the assets to the estimated residual value
      on a straight-line basis over their estimated useful lives. The principal annual
      rates are as follows:





Buildings
            
            
            4
            %Downloading
                terminals
            
            
            20
            %Furniture
                and equipment
            
            
            20
            %





Page
          33
          of 53




Maintenance
      or repairs are charged to expense as incurred. Upon sale or disposition, the
      applicable amounts of asset cost and accumulated depreciation are removed from
      the accounts and the net amount less proceeds from disposal is charged or
      credited to income.





Intangible
      assets





Intangible
      assets are stated at cost less accumulated amortization. Amortization is
      provided on a straight-line basis over 10 years or the terms of the licensing
      period from the date of acquisition.





Impairment
      of long-lived assets





Long-lived
      assets are tested for impairment whenever events or changes in circumstances
      indicate that the carrying amount of the assets may not be recoverable. The
      Company recognizes impairment of long-lived assets in the event that the net
      book values of such assets exceed the future undiscounted cashflows attributable
      to such assets. During the reporting periods, the Company has not identified
      any
      indicators that would require testing for impairment.





Stock-based
      compensation





The
      Company has adopted SFAS 123, “Accounting for Stock-Based Compensation”. Under
      SFAS 123, equity instruments to acquire goods or services from nonemployees
      must
      be accounted for based on the fair value of the consideration received or the
      fair value of the equity instruments issued, whichever is more reliably
      measurable.





Revenue
      recognition





The
      Company recognizes revenue from the sale of hardware and wireless entertainment
      applications.





Revenue
      is recognized from the sale of hardware at the time title to the products
      transfers, the amount is fixed and determinable, evidence of an agreement
      exists, and the customer bears the risk of loss. Revenue is recorded net of
      estimated provisions for returns, rebates and sales allowances.





Revenue
      from wireless entertainment applications download fees is based on a single
      fee
      per downloaded application or bundle of applications. Download fees are assessed
      on a per download basis for each game or bundle of games downloaded to a
      consumer’s mobile phone. Ring-tones and other features operate on the same
      basis. Revenue is recognized by delivery and acceptance of an application
      download to the end user. The Company reports to the owners of the downloading
      terminals the product and dollar amount of revenue earned and remits the agreed
      upon price for each download to the terminal owners. The Company records its
      revenue net of downloading terminals’ owners fees.





Advertising
      and research and development expenses





Advertising,
      research and development, and other product-related costs are charged to expense
      as incurred.





Advertising
      expenses amounted to $119,949 and $157,290 for the years ended December 31,
      2006
      and 2005 respectively are included in selling and distribution
      costs.




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          34
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Research
      and development expenses, which were charged to general and administrative
      expenses and cost of revenues, for the years ended December 31, 2006 and 2005
      amounted to $129,487 and $538,373 respectively.





Income
      taxes





The
      Company uses the asset and liability method of accounting for income taxes
      pursuant to SFAS No. 109 “Accounting for Income Taxes”. Under the asset and
      liability method of SFAS 109, deferred tax assets and liabilities are recognized
      for the future tax consequences attributable to temporary differences between
      the financial statements carrying amounts of existing assets and liabilities
      and
      loss carryforwards and their respective tax bases. Deferred tax assets and
      liabilities are measured using enacted tax rates expected to apply to taxable
      income in the years in which those temporary differences are expected to be
      recovered or settled.





Off-balance
      sheet arrangements





The
      Company does not have any off-balance sheet arrangements.





Comprehensive
      income (loss)





The
      Company has adopted SFAS 130, “Reporting Comprehensive Income”, which
      establishes standards for reporting and display of comprehensive income, its
      components and accumulated balances. Components of comprehensive income (loss)
      include net income and foreign currency translation adjustments.





Foreign
      currency translation





The
      functional currency of AGMB is United States dollars (“US$”) while that of Main
      Glory and Jialong is RMB. RMB is not freely convertible into foreign currencies.
      The Company maintains its financial statements in the functional currency.
      Monetary assets and liabilities denominated in currencies other than the
      functional currency are translated into the functional currency at rates of
      exchange prevailing at the balance sheet date. Transactions denominated in
      currencies other than the functional currency are translated into the functional
      currency at the exchanges rates prevailing at the dates of the transaction.
      Exchange gains or losses arising from foreign currency transactions are included
      in the determination of net income for the respective periods.





For
      financial reporting purposes, the financial statements of the Company which
      are
      prepared using the functional currency have been translated into US$. Assets
      and
      liabilities are translated at the exchange rates at the balance sheet dates
      and
      revenue and expenses are translated at the average exchange rates and
      stockholders’ equity is translated at historical exchange rates. Any translation
      adjustments resulting are not included in determining net income but are
      included in foreign exchange adjustment to other comprehensive income (loss),
      a
      component of stockholders’ equity. The exchange rates in effect at December 31,
      2006 and 2005 were RMB1 for US$0.1279 and US$0.1238 respectively. There is
      no
      significant fluctuation in exchange rate for the conversion of RMB to US$ after
      the balance sheet date.




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Fair
      value of financial instruments





The
      carrying values of the Company’s financial instruments, including cash and cash
      equivalents, accounts and other receivables, deposits paid and received, and
      accounts and other payables approximate their fair values due to the short-term
      maturity of such instruments.





It
      is the
      management’s opinion that the Company is not exposed to significant interest,
      price or credit risks arising from these financial instruments.





In
      respect of foreign currency risk, the Company’s major operation is in the PRC,
      which may give rise to significant foreign currency risks from fluctuations
      and
      the degree of volatility of foreign exchange rates between US$ and RMB. On
      July
      21, 2005, the PRC government let the RMB fluctuate ending its decade-old
      valuation peg to the US$. The new RMB rate reflects an approximately 3% increase
      in value against the US$. Historically, the PRC government has benchmarked
      the
      RMB exchange ratio against the US$, thereby mitigating the associated foreign
      currency exchange rate fluctuation risk. The Company believes that its foreign
      currency exchange rate fluctuation risk is insignificant, especially if the
      PRC
      government continues to benchmark RMB against US$. The Company did not have
      any
      hedging activities during the reporting periods.





Basic
      and diluted earnings per share





The
      Company reports basic earnings per share in accordance with SFAS No. 128,
“Earnings Per Share”. Basic earnings per share is computed using the weighted
      average number of shares outstanding during the periods presented. The weighted
      average number of shares of the Company represents the common stock outstanding
      during reporting periods.





Recently
      issued accounting pronouncements





In
      February 2006, the Financial Accounting Standards Board (“FASB”) issued SFAS No.
      155 “Accounting for Certain Hybrid Financial Instruments: an amendment of FASB
      Statements No. 133 and 140”. SFAS No. 155 simplifies the accounting for certain
      derivatives embedded in other financial instruments by allowing them to be
      accounted for as a whole if the holder elects to account for the whole
      instrument on a fair value basis. SFAS No. 155 also clarifies and amends certain
      other provisions of SFAS No. 133 and SFAS No. 140. SFAS No. 155 is effective
      for
      all financial instruments acquired, issued or subject to a remeasurement event
      occurring in fiscal years beginning after September 15, 2006. Earlier adoption
      is permitted, provided the entity has not yet issued financial statements,
      including for interim periods, for that fiscal year. The Company does not expect
      the adoption of SFAS No. 155 to have a material impact on our financial
      position, as its currently has no financial instruments within the scope of
      SFAS
      No. 155.





In
      March
      2006, the FASB released SFAS No. 156 “Accounting for Servicing of Financial
      Assets: an amendment of FASB Statement No. 140” to simplify accounting for
      separately recognized servicing assets, servicing liabilities. SFAS No. 156
      permits an entity to choose either the amortization method or the fair value
      measurement method for measuring each class of separately recognized servicing
      assets and servicing liabilities after they have been initially measured at
      fair
      value. SFAS No. 156 applies to all separately recognized servicing assets and
      liabilities acquired or issued after the beginning of an entity’s fiscal year
      that begins after September 15, 2006. The Company does not anticipate the
      adoption of SFAS No. 156 will have a material impact on its consolidated
      financial statements.




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In
      July
      2006, the FASB issued FIN 48 “Accounting for Uncertainty in Income Taxes.” This
      interpretation requires that the entity recognize in its financial statements
      the impact of a tax position, if that position is more likely than not of being
      sustained on audit, based on the technical merits of the position. The
      provisions of FIN 48 is effective for fiscal years beginning after December
      15,
      2006, with the cumulative effect of the change in accounting principle recorded
      as an adjustment to opening retained earnings. The Company is currently
      evaluating the impact of adopting FIN 48 on its consolidated financial
      statements.





In
      September 2006, the FASB issued SFAS No. 157 “Fair Value Measurements”. SFAS No.
      157 defines fair values, establishes a framework for measuring fair value,
      and
      expands disclosures about fair value measurements. This Statement shall be
      effective for financial statements issued for fiscal years beginning after
      November 25, 2007, and interim periods within those fiscal years. Earlier
      application is encouraged provided that the reporting entity has not yet issued
      financial statements for that fiscal year, including financial statements for
      an
      interim period with that fiscal year. The provisions of this statement should
      be
      applied, except in some circumstances where the statement shall be applied
      retrospectively. The Company is currently evaluating the impact of adopting
      SFAS
      No. 157 on its consolidated financial statements.





In
      September 2006, the FASB issued SFAS No. 158 “Employers’ Accounting for Defined
      Benefit Pension and Other Postretirement Plans : an amendment of FASB Statements
      No. 87, 88, 106 and 132 (R)” which requires an employer to recognize the over
      funded or under funded status of defined benefit and other postretirement plans
      as an assets or liability in its statement of financial position and to
      recognize changes in that funded status in the year in which the changes occur
      through and adjustment to comprehensive income. This statement also requires
      an
      employer to measure the funded status of a plan as of the date of its year-end
      statement of financial positions, which limited exceptions. The Company is
      currently evaluating the impact of adopting SFAS No. 158 on its consolidated
      financial statements.





In
      September 2006, the SEC issued SAB No. 108, which provides guidance on the
      process of quantifying financial statement misstatements. In SAB No. 108, the
      SEC staff establishes an approach that requires quantification of financial
      statements errors, under both the iron-curtain and the roll-over methods, based
      on the effects of the error on each of the Company’s financial statements and
      the related financial statement disclosures. SAB No. 108 is generally effective
      for annual financial statements in the first fiscal year ending after November
      15, 2006. The transition provisions of SAB No. 108 permits existing public
      companies to record the cumulative effect in the first year ending after
      November 15, 2006 by recording correcting adjustments to the carrying values
      of
      assets and liabilities as of the beginning of that year with the offsetting
      adjustment recorded to the opening balance of retained earnings. Management
      does
      not expect that the adoption of SAB No. 108 would have a material effect on
      the
      Company’s consolidated financial statements.





**4.**  **Merger
      and reorganization**





Pursuant
      to an exchange agreement that closed on December 1, 2005, AGMB exchanged
      63,811,443 shares of common stock for all of the issued and outstanding shares
      of Main Glory. The acquisition of Main Glory by the Company was accounted for
      as
      a stock exchange reverse merger. AGMB is the surviving legal entity with Main
      Glory and its wholly-owned subsidiary Jialong as the historical consolidated
      accounting company whose financial statements are provided for reporting
      purposes.




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          37
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AGMB
      has
      6,188,557 shares of issued and outstanding common stock prior to the merger
      and
      then issued 56,911,443 shares in exchange for all of the issued and outstanding
      shares of Main Glory and issued 6,900,000 shares to a third party consultant.
      As
      of December 31, 2005, the Company had 70,000,000 shares of issued and
      outstanding common stock.





Following
      is the balance sheet of AGMB at the date of merger:




Assets:Equipment
            
            $
            -Investment
                assets
            
            
            -Total
                assets
            
            $
            -Liabilities
                and stockholders’ equity:LiabilitiesCommon
                stock
            
            $
            6,189Additional
                paid in capital
            
            
            5,143,766Retained
                earnings
            
            
            (5,149,955
            )Total
                liabilities and stockholders’ equity
            
            $
            -





**5.** **Finance
        costs**


Year
                ended December 31,2006
            
            2005Bank
                charges
            
            $
            128
            
            $
            -




**6.**  **Income
      taxes**





AGMB
      is
      subject to the United States of America Tax law at tax rate of 34%. It has
      incurred net operating loss for income tax purposes in the years ended December
      31, 2006 and 2005.





Main
      Glory is subject to Hong Kong profits tax. No provision for Hong Kong profits
      tax has been made as Main Glory has no operations except for holding the
      investment in Jialong since its incorporation.





Jialong
      is subject to PRC enterprise income tax which is computed according to the
      relevant laws and regulations in the PRC. Jialong, being registered as a
      software and hardware enterprise, is entitled to an income tax exemption in
      the
      first two years after it becomes profitable, being 2003 and 2004, and a 50%
      income tax reduction for the following three years, being 2005 to
      2007.





On
      February 20, 2006, Jialong became a wholly-owed foreign enterprise under a
      reorganization plan and the Taxation Bureau of Xian City further approved its
      income tax exemption. The new arrangement of exemption began in the first two
      years after Jialong became profitable, being 2005 and 2006, and a 50% income
      tax
      reduction for the following three years, being 2007 to 2009.




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          38
          of 53




The
      effective income tax differs from the United States statutory income tax rate
      of
      34% as follows:





Year
                ended December 31,2006
            
            2005Provision
                for income taxes at 34%
            
            $
            1,107,765
            
            $
            230,108Non-deductible
                items for tax
            
            
            27,585
            
            
            8,503Tax
                concessions
            
            
            (532,367
            )
            
            (298,646
            )Tax
                rate differential
            
            
            (639,390
            )
            
            (367,515
            )Valuation
                allowance
            
            
            36,407
            
            
            427,550$
            -
            
            $
            -





Deferred
      tax asset as of December 31, 2006 and 2005 is composed of the
      following:




As
                of December 31,2006
            
            2005United
                StatesTax
                losses
            
            $
            463,957
            
            $
            427,550Valuation
                allowances
            
            
            (463,957
            )
            
            (427,550
            )$
            -
            
            $
            -





AGMB
      has
      net operating loss carry forwards for income taxes amounting to approximately
      $1,364,600 and $1,257,500 as of December 31, 2006 and 2005 respectively. These
      losses are available to reduce future years’ taxable income and will expire, if
      not utilized, through 2025. Management believes that the realization of the
      benefits from these losses appears uncertain due to the Company’s limited
      operating history and continuing losses. Accordingly, a full deferred tax asset
      valuation allowance has been provided against the deferred tax
      asset.





**7.**  **Earnings
      per share - basic and diluted**





The
      basic
      and diluted earnings per share is calculated using the net income and the
      weighted average number of common stock outstanding during the years. The
      Company has no dilutive instruments and accordingly, the basic and diluted
      earnings per share are the same.





**8.**  **Inventories**




As
                of December 31,2006
            
            
            2005Hardware
                products
            
            $
            32,421
            
            $
            54,505




**9.**  **Deposits
      paid**





Deposits
      paid represent the deposits made to third parties for the leasing of digital
      information kiosks (“Kiosks”), which provide the terminals for customers to
      download the entertainment applications.




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          39
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**10.** **Other
      receivables**


As
                  of December 31,2006
              
              2005Advances
                  to staff
              
              $
              8,479
              
              $
              4,276Interest
                  receivable
              
              
              -
              
              
              9,901Share
                  of profit receivable from Beijing Flashow MediaCo.,
                  Ltd. (Note 10(a))
              
              
              26,840
              
              
              -Total
                  other receivables
              
              $
              35,319
              
              $
              14,177




(a)
            On
                August 20, 2006, Jialong entered into a cooperation and non-patent
                license
                contract (the “Contract”) with Beijing Flashow Media Co., Ltd. (“Beijing
                Flashow”). The Contract is for the granting of right to use the licensed
                technology - FLASHOW by Beijing Flashow to Jialong for 20 years.
                Jialong
                is also entitled to share the profit generated by Beijing Flashow
                from
                FLASHOW on an agreed basis under the
                Contract.





The
      consideration payable by Jialong under the Contract was $654,438 (equivalent
      to
      RMB5,000,000) in cash together with the issuance of 600,000 shares of common
      stock by the Company. The prepaid license fee was recognized as an intangible
      asset at a value of $1,290,438 (Note 12), which represents the aggregate amount
      of cash paid and fair value of the common stocks issued which was determined
      by
      reference to the closing price of the Company’s common stock quoted on the
      Pinksheets at the date of issuance.





**11.**  **Property
      and equipment, net**




As
                of December 31,2006
            
            2005Buildings
            
            $
            2,174,608
            
            $
            2,053,140Furniture
                and equipment
            
            
            57,563
            
            
            55,487Downloading
                terminals
            
            
            2,431,615
            
            
            -4,663,786
            
            $
            2,108,627Accumulated
                depreciation
            
            
            (477,721
            )
            
            (241,762
            )Property
                and equipment, net
            
            $
            4,186,065
            
            $
            1,866,865





During
      the respective years, depreciation is included in:




Year
                ended December 31,2006
            
            2005Cost
                of revenues
            
            $
            121,573
            
            $
            -General
                and administrative expenses
            
            
            95,616
            
            
            85,929$
            217,189
            
            $
            85,929





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          40
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**12.**  **Intangible
      assets**




As
                of December 31,2006
            
            2005Patent
                rights (Note 12(a))
            
            $
            1,279,181
            
            $
            1,207,729Prepaid
                license fee (Note 12(b))
            
            
            1,290,438
            
            
            -2,569,619
            
            
            1,207,729Accumulated
                amortization
            
            
            (450,589
            )
            
            (281,804
            )Intangible
                assets, net
            
            $
            2,119,030
            
            $
            925,925





(a)
            The
                Company acquired the patent rights for downloadable games from a
                third
                party in 2003.





(b)
            The
                prepaid license fee represents the consideration payable under the
                Contract with Beijing Flashow (Note
                10(a)).





(c)
            Amortization
                expenses for the years ended December 31, 2006 and 2005 were included
                in
                cost of revenues and amounted to $148,981 and $120,773
                respectively.





(d)
            The
                estimated amortization expenses for future periods are expected to
                be as
                follows:




As
                of December 31,2006
            
            2005Year
                ending December 31,2007
            
            $
            192,440
            
            $
            120,7732008
            
            
            192,440
            
            
            120,7732009
            
            
            192,440
            
            
            120,7732010
            
            
            192,440
            
            
            120,7732011
            
            
            192,440
            
            
            120,773Thereafter
            
            
            1,156,830
            
            
            322,060Total
                estimated amortization expenses
            
            $
            2,119,030
            
            $
            925,925





**13.** **Deposits
      received**





Deposits
      received represent the deposit from an independent tenant for the subleasing
      of
      Kiosks (Note 9).





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          41
          of 53




**14.** **Other
      payables and accrued liabilities**




As
                of December 31,2006
            
            2005Other
                payables
            
            $
            5,756
            
            $
            81,040Accrued
                statutory staff welfare and salaries
            
            
            464,658
            
            
            302,802Accrued
                liabilities
            
            
            163,215
            
            
            150,119Accrued
                pension liabilities
            
            
            119,100
            
            
            -Total
                other payables and accrued liabilities
            
            $
            752,729
            
            $
            533,961




**15.** **Commitments
      and contingencies**





Operating
      lease commitment





(a)
            The
                Company leases kiosks and office premises under various non-cancelable
                operating lease agreements that expire at various dates through years
                2007
                to 2011. All leases are on fixed rental basis and none of them include
                contingent rentals. Minimum future commitments payable under these
                agreements as of December 31, 2006 are as
                follows:





Year
                ending December 31,2007
            
            $
            1,009,2742008
            
            
            924,4642009
            
            
            921,0112010
            
            
            921,0112011
            
            
            660,688$
            4,436,448





Rental
      expenses were $358,877 and $32,648 for the years ended December 31, 2006 and
      2005 respectively.





The
      Company is required to pay a deposit of $3,517,749 (equivalent to RMB27,500,000)
      under the agreement for the leasing of Kiosks. As of December 31, 2006,
      $2,750,240 had been paid (Note 9) and there was an outstanding payable of
      $767,509.





(b)
            The
                Company subleases the spaces of some Kiosks to a third party under
                an
                operating lease arrangement that will expire on April 14, 2007. The
                monthly rental is $7,462 and the rental income were $52,870 for the
                year
                ended December 31, 2006. No such rental arrangement was entered into
                in
                2005.




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          42
          of 53




**16.** **Common
      stock**





No.
                of shares
            
            AmountAuthorized
                :-Common
                stock at USD0.001 par value
            
            
            200,000,000
            
            $
            200,000Issued
                and outstanding :-At
                January 1, 2005
            
            
            56,911,443
            
            $
            56,911Common
                stock issued for recapitalization
            
            
            6,188,557
            
            
            6,189Issuance
                of common stock for services
            
            
            6,900,000
            
            
            6,900At
                December 31, 2005
            
            
            70,000,000
            
            
            70,000Common
                stock issued for acquisition of anintangible
                asset (Note 10(a))
            
            
            600,000
            
            
            600At
                December 31, 2006
            
            
            70,600,000
            
            $
            70,600




**17.** **Additional
      paid-in capital**





Included
      in additional paid-in capital is an amount of USD635,400 which represents the
      excess of the aggregate fair value of the Company’s common stock issued for the
      acquisition of an intangible assets (Note 10(a)) over the aggregate par value
      of
      common stock issued.





The
      aforementioned fair value is determined by reference to the closing price of
      the
      Company’s common stock quoted on the Pinksheets at the date of
      issuance.




**18.** **In-kind
      contribution**





During
      the year ended December 31, 2005, the Company recorded $30,927 as contributed
      capital by a stockholder for the usage of office equipment and office spaces
      occupied. There was no in-kind contribution for the year ended December 31,
      2006.





**19.** **Statutory
      and other reserves**





(a)
            The
                statutory and other reserves comprised statutory surplus reserve,
                statutory public welfare fund and discretionary surplus reserve of
                the
                Company’s subsidiary in the PRC.





Statutory
      surplus reserve





In
      accordance with the relevant laws and regulations of the PRC, the subsidiary
      is
      required to appropriate 10% of its net income reported under the PRC statutory
      accounts, after offsetting any prior years’ losses, to the statutory surplus
      reserve. When the balance of such reserve reaches 50% of the subsidiary’s
      registered capital, any further appropriation is optional.




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          43
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Statutory
      public welfare fund





The
      subsidiary appropriates 5% of its net income reported under the PRC statutory
      accounts to statutory public welfare fund. The statutory public welfare fund
      can
      only be utilized on capital items for the collective benefits of the
      subsidiary’s employees such as construction of canteen and other staff welfare
      facilities. Title of these capital items will remain with the subsidiary. This
      fund is non-distributable other than in liquidation.





Statutory
      public welfare fund is transferred out to discretionary surplus reserve upon
      utilization for the collective benefits of the employees.





Discretionary
      surplus reserve





The
      appropriation of net income reported under the PRC statutory accounts to the
      discretionary surplus reserve and the utilization of this reserve are made
      and
      determined in accordance with the recommendation of the board of directors
      and
      are subject to stockholders’ approval at their general meeting.





(b)
            During
                the years ended December 31, 2006 and 2005, the Company’s PRC subsidiary
                appropriated in aggregate $497,279 and $297,275 respectively to the
                statutory surplus and statutory public reserve funds based on its
                net
                income reported under the PRC statutory
                accounts.




**20.** **Accumulated
      other comprehensive income (loss)**





The
      accumulated other comprehensive income (loss) consists of foreign currency
      translation adjustments as follows:




ForeigncurrencytranslationadjustmentsBalance,
                January 1, 2005
            
            $
            (149,465
            )Foreign
                currency translation adjustments
            
            
            125,962Balance,
                December 31, 2005
            
            
            (23,503
            )Foreign
                currency translation adjustments
            
            
            466,601Balance,
                December 31, 2006
            
            $
            443,098




**21.** **Defined
      contribution plan**





The
      Company has a defined contribution plan for all its qualified employees in
      the
      PRC. The Company and its employees are each required to make contributions
      to
      the plan at the rates specified in the plan. The only obligation of the Company
      with respect to retirement scheme is to make the required contributions under
      the plan. No forfeited contribution is available to reduce the contribution
      payable in future years. The defined contribution plan contributions were
      charged to the statement of operations. The Company contributed $119,100 and
      $Nil for the years ended December 31, 2006 and 2005 respectively.




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          44
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**22.** **Supplemental
      cash flow information**





Year
                ended December 31,2006
            
            2005Interest
                paid
            
            $
            -
            
            $
            -Income
                taxes paid
            
            
            -
            
            
            -





Other
      than the above-mentioned information, during the year ended December 31, 2006,
      the Company issued a total of 600,000 shares of its common stock to partly
      settle the acquisition of an intangible asset (Note 10(a)).





During
      the year ended December 31, 2005, the Company issued 56,911,443 shares of
      restricted common stock for all the issued and outstanding shares of Main Glory
      and 6,900,000 shares of restricted common stock to a third party
      consultant.





**23.** **Related
      parties transactions**





Apart
      from the information disclosed elsewhere in the consolidated financial
      statement, the Company had no material transactions with its related parties
      during the year ended December 31, 2006.





During
      the year ended December 31, 2005, the Company used certain office equipment
      and
      occupied spaces rented by a stockholder of the Company totaling a fair value
      of
      $30,927 (Note 18).





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          45
          of 53




**24.** **Segment
      information**





The
      Company operates in two reportable segment, Wireless Entertainment Applications
      and Hardware. The accounting policies of the segments are the same as described
      in the summary of significant accounting policies. The Company evaluates segment
      performance based on income from operations. As a result, the components of
      operating income for one segment may not be comparable to another segment.
      The
      following is a summary of the Company’s segment information for the years ended
      December 31, 2006 and 2005:





Wireless
                Entertainment Applications
            
            Hardware
            
            TotalYear
                ended December 31,
            
            Year
                ended December 31,
            
            Year
                ended December 31,2006
            
            2005
            
            2006
            
            2005
            
            2006
            
            2005Revenues
            
            $
            6,300,919
            
            $
            3,207,397
            
            $
            126,974
            
            $
            1,307,998
            
            $
            6,427,893
            
            $
            4,515,395Gross
                profit
            
            
            5,074,570
            
            
            2,598,904
            
            
            44,855
            
            
            436,911
            
            
            5,119,425
            
            
            3,035,815Interest
                income
            
            
            1,857
            
            
            5,971
            
            
            21,902
            
            
            12,135
            
            
            23,759
            
            
            18,106Depreciation
                on property andequipment
            
            
            217,189
            
            
            85,929
            
            
            -
            
            
            -
            
            
            217,189
            
            
            85,929Amortization
                on intangible assets
            
            
            148,981
            
            
            120,773
            
            
            -
            
            
            -
            
            
            148,981
            
            
            120,773Segment
                profit
            
            
            3,326,343
            
            
            1,743,595
            
            
            38,870
            
            
            190,694
            
            
            3,365,213
            
            
            1,934,289Total
                assets
            
            
            11,635,769
            
            
            5,192,989
            
            
            4,112,621
            
            
            5,530,657
            
            
            15,748,390
            
            
            10,723,646Expenditure
                for segment assets
            
            $
            3,722,053
            
            $
            55,487
            
            $
            -
            
            $
            -
            
            $
            3,722,053
            
            $
            55,487





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A
      reconciliation is provided for unallocated amounts relating to corporate
      operations which is not included in the segment information.





Year
                ended December 31,2006
            
            2005Total
                consolidated revenue
            
            $
            6,427,893
            
            $
            4,515,395Total
                income for reportable segments
            
            $
            3,365,213
            
            $
            1,934,289Unallocated
                amounts relating to operations:Consultancy
                fee
            
            
            -
            
            
            (1,173,000
            )Professional
                fees
            
            
            (107,080
            )
            
            (84,500
            )Income
                before income taxes
            
            $
            3,258,133
            
            $
            676,789





As
                of December 31,2006
            
            2005AssetsTotal
                assets for reportable segments
            
            $
            15,748,390
            
            $
            10,723,646





All
      of
      the Company’s long-lived assets and customers are located in the PRC.
      Accordingly, no geographic information is presented.





**25.** **Comparative
      amounts**





Certain
      amounts included in prior years’ consolidated balance sheet and the consolidated
      statements of operations and cash flows have been reclassified to conform to
      the
      current year’s presentation. These reclassifications had no effect on reported
      total assets, liabilities, shareholders’ equity, or net income.





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**ITEM
      8. Changes in and Disagreements with Accountants on Accounting and Financial
      Disclosure**





None.





**ITEM
      8A. Controls and Procedures**





(a)
      Evaluation of Disclosure Controls and Procedures





Our
      Chief
      Executive Officer and Chief Financial Officer have evaluated our disclosure
      controls and procedures as of the end of the period covered by this report.
      Based upon that review, they has concluded that these controls and procedures
      are effective for gathering, analyzing and disclosing the information that
      we
      are required to disclose in the reports we file under the Securities Exchange
      Act of 1934. Management has only recently taken control of the operations of
      the
      Company for the purpose, among others, of establishing the Controls and
      Procedures of the Company. Management in formulating the Controls and Procedures
      of the Company, it is addressing the issue of bringing passed filings,
      heretofore, not filed by prior management, current. Once these past filings
      have
      been brought current, the Controls and Procedures being implemented by
      Management are intended to provide procedures directed at insuring future
      filings will be filed within the time periods specified in the SEC’s rules and
      forms.





(b)
      Changes in Internal Control Over Financial Reporting





There
      have been no significant changes in internal control over financial reporting
      that occurred during the fiscal period covered by this report that have
      materially affected, or are reasonably likely to materially affect, the
      registrant's internal control over financial reporting.





**ITEM
      8B. Other Information**





None





**PART
      III.**





**ITEM
              9.**
            **Directors,
                Executive Officers, Promoters and Control Persons; Compliance With
                Section
                16(A) Of The Exchange Act.**





Our
      directors and officers, as of December 31, 2006, are set forth below. The
      directors hold office for their respective term and until their successors
      are
      duly elected and qualified. Vacancies in the existing Board are filled by a
      majority vote of the remaining directors. The officers serve at the will of
      the
      Board of Directors. The below named officers and directors were in their
      respective positions as of December 31, 2006.




**Name**
            
            **Position**Jianwei
                Li
            
            President, Chief Executive Officer,
              Chief
              Technology Officer and DirectorZhen Wang
            
            Chief Financial Officer and
              DirectorYeru Gao
            
            Chief Operations Officer and
              Director





*(a)
      Significant Employees*





Other
      than our officers, there are no employees who are expected to make a significant
      contribution to our corporation.





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*(b)
      Family Relationships*





Our
      directors currently have terms which will end at our next annual meeting of
      the
      stockholders or until their successors are elected and qualify, subject to
      their
      prior death, resignation or removal. Officers serve at the discretion of the
      Board of Directors. There are no family relationships among any of our directors
      and executive officers. There are no family relationships among our officers,
      directors, or persons nominated for such positions.





*(c)
      Legal Proceedings*





No
      officer, director, or persons nominated for these positions, and no promoter
      or
      significant employee of our corporation has been involved in legal proceedings
      that would be material to an evaluation of our management.





*(d)
      Audit Committee*





None.





*Code
      of Ethics*





We
      are in
      the process of preparing a code of ethics that applies to our principal chief
      executive officer, principal financial officer, principal accounting officer
      or
      controller, or persons performing similar functions.





*Compliance
      with Section 16 of the Securities Exchange Act of 1934*





Section
      16(a) of the Securities Exchange Act of 1934, as amended, requires our directors
      and executive officers and beneficial holders of more than 10% of our common
      stock to file with the Commission initial reports of ownership and reports
      of
      changes in ownership of our equity securities. As of the date of this Report,
      we
      believe that all reports needed to be filed have been filed in a timely manner
      for the year ended August 31, 2005. In making this statement, we have relied
      solely on copies of any reporting forms received by us, and upon any written
      representations received from reporting persons that no Form 5 (Annual Statement
      of Changes in Beneficial Ownership) was required to be filed under applicable
      rules of the Commission.





**ITEM
      10.**  **Executive
      Compensation**





*Compensation
      of Officers*





Officers
      receive no compensation for such services.





*Compensation
      of Directors*





Members
      of our Board of Directors receive no compensation for such service, except
      that
      the directors are authorized to receive one hundred (100) shares of 144
      Restricted Common Stock of the Company for each director’s meeting they attend.
      No such stock has been issued.





**ITEM
      11. Security Ownership of Certain Beneficial Owners and Management and Related
      Stockholder Matters**





*Security
      Ownership - Certain Beneficial Owners*





None.





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          49
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*Officer
      & Director - Beneficial Owners*





None.




**ITEM
      12. Certain Relationships and Related Transactions**





*Premises*





None.





*Amounts
      Due From Affiliate*





None.





*Settlement
      of Note Receivable and Note Payable to Related Party*





None.





*Promissory
      Notes*





None.





**ITEM
      13.**  **Exhibits
      and Reports on Form 8-K**





(a)
      Exhibits





2.1
            
            Exchange
                Agreement dated November 28, 2005 (Exhibit 1 to Form 8-K filed with
                the
                Commission on December 5, 2005)3.1
            
            Certificate
                of Amendment filed with the Secretary of State of Nevada on September
                7,
                2000 (Exhibit 3.1 to Form 10-KSB filed with the Commission on May
                8,
                2006)3.2
            
            Certificate
                of Amendment filed with the Secretary of State of Nevada on June
                28, 2001
                (Exhibit 3.2 to Form 10-KSB filed with the Commission on May 8,
                2006)3.3
            
            Certificate
                of Amendment filed with the Secretary of State of Nevada on December
                13,
                2005 (Exhibit 4 to Form 8-K filed with the Commission on December
                2,
                2005)24
            
            Power
                of Attorney (filed herewith) (see signature page)31.1
            
            Certification
                of Chief Executive Officer pursuant to 13a-14 and 15d-14 of the Exchange
                Act (filed herewith)31.2
            
            Certification
                of Chief Financial Officer pursuant to 13a-14 and 15d-14 of the Exchange
                Act (filed herewith)32.1
            
            Certificate
                pursuant to 18 U.S.C. ss. 1350 for Jianwei Li, Chief Executive Officer
                (filed herewith)32.2
            
            Certificate
                pursuant to 18 U.S.C. ss. 1350 for Zhen Wang, Chief Financial Officer
                (filed herewith)99.1
            
            Board
                Resolution dated November 28, 2005, spinning out 100% of the wholly-owned
                subsidiary Apple Juice Productions, Inc. (Exhibit 99.1 to Form 8-K
                filed
                with the Commission on December 1,
                2005)





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*(b)
      Reports on Form 8-K.*





The
      Company filed a Form 8-K with the Commission on November 9, 2006 discussing
      the
      change in independent accountants from Jimmy C.H. Cheung & Co. to PKF Hong
      Kong.





The
      Company filed a Form 8-K with the Commission on June 26, 2006 discussing the
      change in independent accountants from Child, Van Wagoner & Bradshaw PLLC to
      Jimmy C.H. Cheung & Co.





The
      Company filed a Form 8-K with the Commission on June 22, 2006 discussing the
      change in its fiscal year end from August 31 to December 31.





The
      Company filed a Form 8-K/A with the Commission on April 4, 2006 restating the
      following from the Form 8-K originally filed with the Commission on November
      30,
      2005 discussing the spin-off of the 100 percent of Apple Juice Productions,
      Inc.; restating the following from the Form 8-K originally filed with the
      Commission on December 2, 2005 discussing the entering into an Exchange
      Agreement; the change in control of the Registrant pursuant to the Exchange
      Agreement; the departure of certain directors and election of certain directors;
      the name change from International Synergy Holding Company, Ltd. to Along Mobile
      Technologies, Inc.; change in Registrant’s status as a shell company; a business
      overview; press release and pro forma financial statements; restating the
      following from the Form 8-K originally filed with the Commission on March 28,
      2006 discussing the change in independent accountants.





The
      Company filed a Form 8-K with the Commission on March 28, 2006 discussing the
      change in independent accountants from Andrew Smith to Child, Van Wagoner &
Bradshaw PLLC.





**ITEM
      14. Principal Accountant Fees and Services**





The
      following is a summary of the fees billed to us by the accounting firm of Jimmy
      C.H. Cheung & Co. (“Cheung”) and PKF for professional services rendered for
      the year ended December 31, 2006:





For
                the year ended December 31, 2006Service
            
            Cheung
            
            PKFAudit
                Fees
            
            $
            10,000
            
            $
            55,000Quarter
                review fee
            
            $
            -
            
            $
            -Audit
                Related Fees
            
            $
            -
            
            $
            -Tax
                Fees
            
            $
            -
            
            $
            -All
                Other Fees
            
            $
            -
            
            $
            -TOTAL
            
            $
            10,000
            
            $
            55,000





Audit
      fees consist of the aggregate fees billed for services rendered for the audit
      of
      our annual financial statements, the reviews of the financial statements
      included in our Forms 10-QSB and for any other services that are normally
      provided by Cheung and PKF in connection with our statutory and regulatory
      filings or engagements.





Audit
      related fees consist of the aggregate fees billed for professional services
      rendered for assurance and related services that reasonably related to the
      performance of the audit or review of our financial statements that were not
      otherwise included in Audit Fees.




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          51
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Tax
      fees
      consist of the aggregate fees billed for professional services rendered for
      tax
      compliance, tax advice and tax planning. These services include assistance
      regarding federal, state and local tax compliance and consultation in connection
      with various transactions and acquisitions.





All
      other
      fees consist of the aggregate fees billed for products and services not
      otherwise included in Audit Fees, Audit Related fees or Tax Fees.





The
      policy of our Board of Directors is to review and pre-approve both audit and
      non-audit services to be provided by the independent auditors (other than with
      de minimis exceptions permitted by the Sarbanes-Oxley Act of 2002). This duty
      may be delegated to one or more designated members of our Board of Directors
      with any such approval reported to the committee at its next regularly scheduled
      meeting. Approval of non-audit services shall be disclosed to investors in
      periodic reports required by section 13(a) of the Securities Exchange Act of
      1934, as amended. All of the fees paid to Cheung and PKF were pre-approved
      by
      our Board of Directors.





No
      services in connection with appraisal or valuation services, fairness opinions
      or contribution-in-kind reports were rendered by Cheung or PKF. Furthermore,
      no
      work of Cheung and PKF with respect to their services rendered to us was
      performed by anyone other than Cheung and PKF.





**SIGNATURES**





In
      accordance with Section 13 or 15(d) of the Exchange Act, the registrant has
      duly
      caused this report to be signed on its behalf by the undersigned, thereunto
      duly
      authorized.





**ALONG
      MOBILE TECHNOLOGIES, INC. (formerly**


**INTERNATIONAL
      SYNERGY HOLDING COMPANY, LTD.)**


/s/
              Jianwei LiJianwei
                Li, Chief Executive Officer
              (Principal
                executive officer)/s/ Zhen WangZhen
                Wang, Chief Financial Officer
              (Principal
                financial officer)




Dated:
      March 1, 2007





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          52
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In
      accordance with the requirements of the Exchange Act, this report has been
      signed below on behalf of the registrant and in the capacities indicated on
      March 1, 2007.





Each
      person whose signature appears below constitutes and appoints Jianwei Li as
      his
      true and lawful attorneys-in-fact and agents, each acting alone, with full
      power
      of substitution and resubstitution, for him and in his name, place and stead,
      in
      any and all capacities, to sign any and all amendments to this Report
      on
      Form 10-KSB and to file the same, with all exhibits thereto, and other documents
      in connection therewith, with the U.S. Securities and Exchange Commission,
      granting unto said attorneys-in-fact and agents, each acting alone, full power
      and authority to do and perform each and every act and thing requisite and
      necessary to be done in and about the premises, as fully to all intents and
      purposes as he might or could do in person, hereby ratifying and confirming
      all
      said attorneys-in-fact and agents, each acting alone, or his substitute or
      substitutes, may lawfully do or cause to be done by virtue thereof.




**Signature**
            
            **Title**/s/ Jianwei Li
            
            Chief Executive Officer (Principal executive
              officer) andJianwei
              Li
            
            Director/s/ Zhen Wang
            
            Chief Financial Officer and
              DirectorZhen
              Wang/s/ Yeru Gao
            
            Chief Operations Officer and
              DirectorYeru
              Gao




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