This Forum is not dedicated to that application but to Photoshop proper.
Please see if you can find the appropriate Forum yourself.
Hello! The pictures are still on your hard drive. Perform a search for *.jpg on your computer to find them.
The program is not sold or supported anymore.
The discussion has been moved to the relevant forum.
Here is a more thorough response to your question.
Photoshop Album has been discontinued for several years now, I recommend that folks find an alternative solution; you could try Picasa from Google, or the Windows built in photo gallery app; both essentially do what Starter Edition did, with respect to organizing photos for you.
You photos remain wherever you intially put them, on your hard drive (see more thorough description below). To get to them, you can navigate your file system using Windows Explorer. They are typically in your My Documents>My Pictures folder. Google 'how to find photos on Windows XP' for helpful links on locating files in your file system.
Some background about how Starter Edition worked:
It is a common misconception that Starter Edition 'stores', or copies, your files into it. But the program does not move or copy files at all, rather it scans your system's My Pictures directory, and generates miniature versions of your pictures (called thumbnails) so that you can browse a 'flat' list of thumbnails of your photos, overcoming the inconvenience of having to go into separate folders in Windows Explorer to have to find files. The thumbnails, as well as any tags, and Albums that you create in Starter Edition are all stored in the Photoshop Album catalog file, separate from your pictures, and your pictures remain where you originally copied them to your computer.
If you use Photoshop Album to subsequently download files from a digital camera or scanner, the default location where the program will create those files would be in the My Pictures>Digital Camera Photos folder. But if you do NOT use Photoshop Album Starter edition to download files from your camera, then you will find that folder empty.
Hope those tips help!