As the player sets out for adventure, it becomes apparent that an evil entity named Lord Tarbos, who was imprisoned a thousand years earlier, is about to be released again to wreak havoc upon Lyramion.

The player, helped by the various adventurers who join the party along the way, must recover the thirteen missing pieces of the Amberstar, the talisman that initially banished Lord Tarbos, to defeat the demon once again.

Many critics praised the deep storyline while feeling that the graphics were a bit outdated in comparison to other current RPGs such as Ultima Underworld or Might and Magic: Clouds of Xeen.

[citation needed] The One gave the Amiga version of Amberstar an overall score of 78%, comparing its gameplay to Ultima VI and Eye of the Beholder, stating that it "[mixes] the depth, character interaction and size of [Ultima VI] with the first-person 3D immediacy of [Eye of the Beholder]".

Disappointing sales of both Amberstar and Ambermoon led Thalion Software to close after the sequel's German release.