The growth and phosphatase (phosphomonoesterase) activity of Chroococcidiopsis culture isolated from the cryptoendoliths of the Antarctic were compared with a similar isolate from the Arizona hot desert. Such cyanobacteria living inside rocks share several features with the immobilized cells produced in the laboratory. This study has relevance because the availability of phosphorus is a key factor influencing the growth of these cyanobacteria in nature, in such unique ecological niches as the hot and cold deserts. Phosphatase activity therefore is of particular importance for these organisms if they are to survive without any other source of phosphorus availability. Also, there is paucity of knowledge regarding this aspect of study in cyanobacterial cultures from these extreme environments. The salient feature of this study shows the importance of specific pH and temperatures for growth and phosphatase activity of both cultures, although there were marked differences between the two isolates. The pH and temperature optima for growth and phosphatase activity (PMEase) of Chroococcidiopsis 1 and 2 were 9.5, $240^{circ}C$ and 8.5, $40^{circ}C$ respectively. The $K_m and V_max$ values of cultured Chroococcidiopsis 1 showed lower affinity of PMEase for the substrate compared to the enzyme affinity of the same organism when found within the rocks; Chroococcidiopsis 2 and Arizona rocks containing the same alga however showed similar affinity of PMEase for the substrate. An interesting observation was the similarity in response of immobilized Chroococcidiopsis 1 culture and the same organism in the Antarctic rocks to low light and low temperature stimulation of PMEase. This thermal response seems to be related to the ability of the immobilized Antarctic isolate and the rocks to either cryoprotect the PMEase or undergo a change to save the enzyme from becoming nonfunctional under low temperatures. The free cells of Chroococcidiopsis 1 culture however did not show such responses.