Xero Mobile Negotiating for Sale to ROK Entertainment Group

Xero Mobile (Pink Sheets:XRMB) today announced that it has entered
exclusive talks to be acquired by ROK Mobile, a UK-based mobile
company. The negotiations are taking place as both companies focus on
deploying advertising services for college students on mobile phones.

Xero Mobile has developed a revolutionary ad-subsidized mobile
phone service featuring the tightly targeted delivery and display of
TV-style ads to each handset in return for free airtime. The unique,
patented solution enables Xero Mobile to bill advertisers only for ads
that are actually viewed, delivering substantially better value for
each ad dollar than TV, print or direct mail. The company recently
announced its intention to launch an innovative mobile phone service
specifically for college students.

"ROK Mobile is focused on bringing to market the same cutting-edge
applications targeted to college students that Xero Mobile has worked
hard to provide," said Allan Brown, Xero Mobile president and CEO. "We
look forward to joining the ROK team and know that together we have
the potential to revolutionize mobile sales and marketing."

ROK Mobile is part-owned by ROK Entertainment Group, the mobile
technology development company best known for its TV service streamed
over existing 2.5G, EDGE, 3G and wi-fi network.

About XERO Mobile

Los Angeles-based Xero Mobile combines two of the largest and most
dynamic markets in the U.S. - mobile phones and advertising. Targeted
to the 17.3 million-strong college market, Xero will provide
high-specification handsets at competitive prices. In return, students
will agree to accept a small number of relevant video ads on their
handset each day. Each ad provides the student with free mobile
airtime. Prominent national advertisers will be able to send
permission-based TV-style ads with the accuracy of direct mail, the
accountability of the web and the intimacy of mobile. The company is
publicly traded on the Over-The-Counter Pink Sheets under the symbol
"XRMB." For more information, visit www.xeromobile.com.