Tyrosinase is a key enzyme in melanin synthesis. Owing to enlargement of availability of edible types of mushrooms in food medicines, we investigated effects of Agaricus blazei (ABE) on tyrosinase activity using Ltyrosine and L-3, 4-dihydroxyphenylalanine (L-DOPA) as the substrate in normal human epidermal melanocytes (NHEM). ABE inhibited tyrosinase activity similar to arbutin and Vitamin C as two whitening agents in a dose dependent manner. In agreement with this, treatment of the cells with ABE (3-100 lg/ml) reduced melanin content up to 57% of the control in NHEM. In addition, production of nitric oxide (NO) which has the ability of inducing tyrosinase activity in melanocytes was also suppressed by ABE treatment. Furthermore, ABE inhibited NO production in lipopolysaccharides (LPS)-stimulated RAW264.7 macrophages, in a dose dependent manner but without affecting iNOS mRNA expression indicated by reverse transcription-PCR (RT-PCR) technique. These findings suggest that ABE inhibits melanin production via partial inhibition of tyrosinase activity and NO production. This hypopigmenting effect of water soluble Agaricus blazei extract could be useful for the treatment of some skin disorders.