|   | 1. | The      Principal Amount as reflected in the Agreements dated December 28, 2007      are hereby changed from $1,000,000.00 (One million dollars) to      $1,600,000.00 (One million six hundred thousand  dollars). |
|--------|----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 2. | Debtor      hereby certifies that, except as previously waived by Secured      Party: |
|--------|----|---------------------------------------------------------------------------------------|

|   | a. | all      of the representations and warranties contained in the Agreements are true      and correct as of the date thereof; |
|--------|----|------------------------------------------------------------------------------------------------------------------------------|

|   | b. | the      Debtor is not in default under theAgreements; |
|--------|----|--------------------------------------------------------|

|   | c. | no      event of default has occurred and iscontinuing; |
|--------|----|---------------------------------------------------------|

|   | d. | Debtor      has not breached any covenant contained in the Agreements;    and |
|--------|----|-------------------------------------------------------------------------------|

|   | e. | the      Agreements are in full force and effect as of the date    hereof. |
|--------|----|----------------------------------------------------------------------------|

|   | 3. | Except      as set forth above, all of the remaining terms, provisions and conditions      of the Agreements shall remain in full force and  effect. |
|--------|----|------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 4. | Simultaneous      with Debtor’s execution of this Amendment, Debtor will pay to Secured      Party a $12,000.00 (2% of increased commitment) Commitment Fee on the      increased amount of the Principal commitment, such amount being paid in      two equal installments, the first upon execution of this Amendment, and      the second on the first anniversary of the  Agreement |
|--------|----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| SECURED      PARTY:             |
|---------------------------------|
| THERMO      CREDIT, LLC         |
|                            |   |
| By:                             | /s/ Jack V. Eumont, Jr. |
|                            |   |
| Name:                           | Jack V. Eumont, Jr. |
|                            |   |
| Title:                          | Executive Vice President |
|                            |   |
| DEBTOR:                         |
| ONSTREAM      MEDIA CORPORATION |
|                            |   |
| By:                             | /s/ Randy Selman |
|                            |   |
| Name:                           | Randy Selman |
|                            |   |
| Title:                          | CEO |

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