U.S.
      SECURITIES AND EXCHANGE COMMISSION


Washington,
      D.C. 20549





FORM
      10-QSB





(Mark
      One)


x 
QUARTERLY
      REPORT
      UNDER SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF
      1934




For
      the
      quarterly period ended September 30, 2007





o
      TRANSITION REPORT UNDER
      SECTION 13 OR 15(d) OF THE EXCHANGE ACT





For
      the
      transition period from ___________ to ___________





Commission
      file number: 000-29087





Datascension,
      Inc.


(Name
      of
      small business issuer in its charter)





Nevada
            
            87-0374623(State
                or other jurisdiction of
            
            (IRS
                Employerincorporation
                or organization)
            
            Identification
                No.)





407
                W Imperial Hwy, Suite 314, Brea, CA
            
            92821(Address
                of principal executive offices)
            
            (Zip
                Code)





714-482-9750


(Issuer's
      telephone number)





145
                S. State College Blvd, Suite 350, Brea, CA
            92821





(Former
      name, former address and former fiscal year,


if
      changed since last report)


Check
        whether the issuer (1) filed all reports required to be filed by Section
        13 or 15(d) of the Exchange Act during the past 12 months (or for such shorter
        period that the registrant was required to file such reports), and (2) has
        been
        subject to such filing requirements for the past 90 days.
 
 Yes
x
        No o
 
 Indicate
        by check mark whether the registrant is a shell company (as defined in Rule
        12b-2 of the Exchange Act).
 Yes
o
        No x
 
 APPLICABLE
        ONLY TO ISSUERS INVOLVED IN BANKRUPTCY
 PROCEEDING
        DURING THE PRECEDING FIVE YEARS
 
 Check
        whether the Registrant filed all documents and reports required to be filed
        by
        Section 12, 13 or 15(d) of the Exchange Act after the distribution of securities
        under a plan confirmed by a court.
 Yes
o
        No o
 
 APPLICABLE
        ONLY TO CORPORATE ISSUERS
 
 The
        Registrant has 32,624,562 s hares
        outstanding, par value $.001 per share as of, November 12, 2007. The Registrant
        has 508,500 shares of Preferred Stock Series B issued and outstanding as
        of,
        November 12, 2007.
 
 Transitional
        Small Business Disclosure Format (check one): Yes o No x
 
 
  TABLE
        OF
        CONTENTS
 
 Page
                  No.PART
                  I.
              FINANCIAL
                  INFORMATIONItem
                  1.
              Financial
                  Statements
              3Balance
                  Sheet (unaudited)
              3-4Statements
                  of Operations (unaudited)
              5Statements
                  of Cash Flows (unaudited)
              6Notes
                  to Financial Statements
              7Item
                  2.
              Management's
                  Discussion and Analysis of Plan of Operation
              9Item
                  3.
              Controls
                  and Procedures
              13PART
                II.
              OTHER
                  INFORMATIONItem
                  1.
              Legal
                  Proceedings
              14Item
                  2.
              Unregistered
                  Sales of Equity and Use of Proceeds
              14Item
                  3.
              Defaults
                  upon Senior Securities
              14Item
                  4.
              Submission
                  of Matters to a Vote of Security Holders
              14Item
                  5.
              Other
                  Information
              14Item
                  6.
              Exhibits
                  and Reports on Form 8-K
              14Signatures
              15
 
 2
  PART
        I.
        FINANCIAL INFORMATION
 
 Item
        1.
        Financial Statements.
 
 The
        condensed financial statements of Datascension, Inc., a Nevada
        corporation("DSEN") included herein have been prepared in accordance with
        the
        instructions to quarterly reports on Form 10-QSB pursuant to the rules and
        regulations of the Securities and Exchange Commission. Certain information
        and
        footnote data necessary for fair presentation of financial position and results
        of operations in conformity with accounting principles generally accepted
        in the
        United States of America have been condensed or omitted. It is therefore
        suggested that these financial statements be read in conjunction with the
        summary of significant accounting policies and notes to financial statements
        included in DSEN's Annual Report on Form 10-KSB for the year ended December
        31,
        2006.
 
 In
        the
        opinion of management, all adjustments necessary in order to make the financial
        position, results of operations and changes in financial position at September
        30, 2007, and for all periods presented not misleading have been made. The
        results of operations for the period ended September 30, 2007 are not
        necessarily an indication of operating results to be expected for the full
        year
        ending December 31, 2007.
  **DATASCENSION,
        INC.**
 **CONDENSED
        CONSOLIDATED BALANCE SHEET**
 **ASSETS**
 **Unaudited**
              
              **Audited****9/30/2007**
              
              **12/31/2006****Current
                  Assets:**Cash
              
              $
              305,150
              
              $
              592,289Accounts
                  receivable
              
              
              3,334,896
              
              
              2,405,759Prepaid
                  expenses
              
              
              803,529
              
              
              259,626**Total
                  current assets**
              
              
              4,443,575
              
              
              3,257,674**Property
                    and equipment**,
                    net of accumulatedDepreciation
              
              
              3,202,247
              
              
              3,135,930**Other
                  Assets:**Website
                  assets, net of amortization
              
              
              3,207
              
              
              3,207Deposits
              
              
              15,618
              
              
              41,749Goodwill
              
              
              1,692,782
              
              
              1,692,782**Total
                  other assets**
              
              
              1,711,607
              
              
              1,737,738**Total
                  Assets**
              
              $
              9,357,429
              
              $
              8,131,342
  3
  **LIABILITIES
        AND STOCKHOLDERS' EQUITY**
  **9/30/2007**
              
              **12/31/2006****Current
                  Liabilities:**Accounts
                  payable
              
              $
              243,616
              
              $
              259,655Accrued
                  expenses
              
              
              487,504
              
              
              454,881Short
                  term notes payable
              
              
              1,238,603
              
              
              356,625Current
                  portion of long-term notes payable
              
              
              2,590,566
              
              
              1,169,819**Total
                  current liabilities**
              
              
              4,560,289
              
              
              2,240,980**Long-Term
                  Debt**Long-term
                  notes payable, net of current portion
              
              
              933,795
              
              
              4,668,455**Total
                  long-term debt**
              
              
              933,794
              
              
              4,668,455**Total
                  Liabilities**
              
              
              5,494,083
              
              
              6,909,435**Stockholders'
                  Equity:**Common
                  stock:Common
                  stock, $0.001 par value, 200,000,000 shares authorized; 32,664,562,
                  and
                  23,031,547 shares issued,32,664,562 and 22,935,714 outstanding
                  at
                  September 30, 2007 and December 31, 2006, respectively
              
              
              32,569
              
              
              22,936Additional
                  paid-in capital-common stock
              
              
              16,191,989
              
              
              13,150,255Preferred
                  stock Series B:Preferred
                  stock, $0.001 par value, 10,000,000 shares authorized; 508,500
                  Series B
                  shares issued and outstanding at September 30, 2007 and December
                  31,
                  2006
              
              
              506
              
              
              506Additional
                  paid-in capital-preferred Series B
              
              
              481,995
              
              
              481,994Treasury
                  stock, at cost; 95,833 at September 30, 2007
              
              
              (134,388
              )
              
              (134,388
              )Accumulated
                  deficit
              
              
              (12,709,324
              )
              
              (12,299,396
              )**Total
                  stockholders' equity**
              
              
              3,863,346
              
              
              1,221,907**Total
                  Liabilities and Stockholders' Equity**
              
              $
              9,357,429
              
              $
              8,131,342
 
 The
        accompanying notes to the financial statements should be read in conjunction
        with the above financial statements.
  4
  **DATASCENSION,
        INC.**
 **CONDENSED
        CONSOLIDATED STATEMENTS OF OPERATIONS**
 **(UNAUDITED)**
  **For the**
              
              **For
                  the**
              
              **For
                  the**
              
              **For
                  the****3 months ended**
              
              **3 months ended**
              
              **9 months ended**
              
              **9 months ended****9/30/2007**
              
              **9/30/2006**
              
              **9/30/2007**
              
              **9/30/2006****Revenue**
              
              $
              5,140,592
              
              $
              4,217,471
              
              $
              14,783,286
              
              $
              10,827,468**Cost
                  of Goods Sold**
              
              
              4,665,902
              
              
              3,003,854
              
              
              12,566,031
              
              
              8,042,058**Gross
                  Profit**
              
              
              474,690
              
              
              1,213,617
              
              
              2,217,255
              
              
              2,785,410**Expenses:**Selling,
                  general and administrative
              
              
              553,253
              
              $
              778,086
              
              
              1,668,909
              
              $
              2,003,370Stock
                  based compensation
              
              
              -
              
              
              -
              
              
              -
              
              
              694,351Depreciation
                  and amortization
              
              
              60,460
              
              
              58,396
              
              
              163,581
              
              
              167,242**Total
                  expenses**
              
              
              613,713
              
              
              836,482
              
              
              1,832,490
              
              
              2,864,963**Operating
                  Income**
              
              
              (139,023
              
              
              377,136
              
              
              384,765
              
              
              (79,553
              )**Other
                  Income (Expense):**Other
                  expenses
              
              
              -
              
              
              -
              
              
              -
              
              
              -Other
                  income
              
              
              -
              
              
              592,186
              
              
              -
              
              
              596,789Interest
                  expense
              
              
              (279,986
              )
              
              (171,036
              )
              
              (794,693
              )
              
              (321,986
              )Other
                  Income (Expense) related to convertible
              
              
              -
              
              
              1,738,467
              
              
              -
              
              
              1,513,649Interest
                  income (expense) related to convertible
              
              
              -
              
              
              (357,976
              )
              
              -
              
              
              (738,654
              )**Total
                  other income**
              
              
              (279,986
              )
              
              1,801,641
              
              
              (794,693
              )
              
              941,281**Net
                  Income (loss)**
              
              $
              (419,009
              )
              $
              2,178,777
              
              $
              (409,928
              )
              $
              861,728**Basic
                  weighted average number of common shares
                  outstanding**
              
              
              32,624,562
              
              
              17,987,221
              
              
              27,925,198
              
              
              17,734,291**Diluted
                  weighted average number of common shares
                  outstanding**
              
              
              32,624,562
              
              
              48,715,151
              
              
              27,925,198
              
              
              48,462,221**Basic
                  Net Income Per Share**
              
              $
              (
                  0.01
              )
              $
              0.12
              
              $
              (0.01
              )
              $
              0.05**Diluted
                  Net Income Per Share**
              
              $
              (0.01
              )
              $
              0.04
              
              $
              (0.01
              )
              $
              0.02
  The
        accompanying notes to the financial statements should be read in conjunction
        with the above financial statements.
  5
  **DATASCENSION,
        INC.**
 **CONDENSED
        CONSOLIDATED STATEMENTS OF CASH FLOWS**
 **(UNAUDITED)**
 
 **Unaudited**
              
              **Unaudited****For the 9 months**
              
              **For the 9 months ended**9/30/2007
              
              9/30/2006**Cash
                Flows From Operating Activities:**Net
                  income (loss)
              
              $
              (409,928
              )
              $
              861,728Adjustments
                  to reconcile net income to net Cash provided by operating
                  activities:Issued
                  (canceled) for services and debt
              
              
              -
              
              
              748,962Write
                  off of century innovations
              
              
              -
              
              
              108,469Noncash
                  expenses associated with convertible debt
              
              
              -
              
              
              (308,413
              )Change
                  in warrant liability
              
              
              -
              
              
              165,242Change
                  in derivative liability
              
              
              -
              
              
              (444,527
              )Depreciation
                  and amortization
              
              
              163,581
              
              
              167,242Increase
                  in construction of progress
              
              
              -
              
              
              (1,696,400
              )Forgiveness
                  of debt
              
              
              -
              
              
              (592,186
              )(Increase)
                  decrease in accounts receivable
              
              
              (929,138
              )
              
              (61,272
              )(Increase)
                  in prepaid expenses
              
              
              (543,903
              )
              
              (161,472
              )(Increase)
                  decrease in deposits
              
              
              26,131
              
              
              (21,500
              )Increase
                  (decrease) in accounts payable
              
              
              (16,039
              )
              
              228,848Increase
                  (decrease) in accrued expenses
              
              
              32,623
              
              
              (15,407
              )**Net
                  cash used by operating activities**
              
              
              (1,676,673
              )
              
              (1,020,686
              )**Cash
                  Flows From Investing Activities:**Purchase
                  of property and equipment
              
              
              
              
              
              (234,701
              )**Net
                  cash used by investing activities**
              
              
              (229,898
              )
              
              (234,701
              )**Cash
                  Flows From Financing Activities:**Increase
                  (decrease) in notes payable
              
              
              881,978
              
              
              (279,375
              )Increase
                  (Decrease) in related party payable
              
              
              -
              
              
              (7,000
              )Increase
                  (Decrease) in convertible debt / notes payables
              
              
              (2,313,914
              )
              
              2,120,495Issuance
                  of common stock
              
              
              3,051,368
              
              
              30,000**Net
                  cash provided by financing activities**
              
              
              1,619,432
              
              
              1,864,120**Net
                  Increase (decrease) in cash**
              
              
              (287,139
              )
              
              608,733**Balance,
                  Beginning**
              
              
              592,289
              
              
              275,286**Balance,
                  Ending**
              
              
              305,150
              
              $
              884,019**Interest
                  Paid**
              
              $
              370,625
              
              $
              321,986**Taxes
                  Paid**
              
              $
              2,400
              
              $
              -**Supplemental
                  disclosure of non-cash transactions**Debt
                  converted to equity
              
              $
              3,025,000
              
              $
              -
  The
        accompanying notes to the financial statements should be read in conjunction
        with the above financial statements.
 
 6
 
 DATASCENSION,
        INC.
 NOTES
        TO
        CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
 
 NOTES
        TO
        CONSOLIDATED FINANCIAL STATEMENTS
 
 Note
        1 -
        HISTORY AND ORGANIZATION OF THE COMPANY
 
 Datascension,
        Inc. (formerly known as Nutek, Inc.) was incorporated in August 1991 under
        the
        laws of the State of Nevada as Nutek, Inc. (the "Company") and is engaged
        in the
        market research industry.
 
 Datascension
        International, Inc. and related assets were purchased on September 27, 2001
        for
        $2,200,000 using company shares at fair market value. Datascension
        International, Inc. is a data solutions company representing a unique expertise
        in the collecting, storage, processing, and interpretation of data. During
        2002,
        Datascension International, Inc. expanded operations into Costa
        Rica.
 
 NOTE
        2 -
        SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
 
 Foreign
        Currency
 
 DSEN
        maintains its accounting records in U.S. dollars and all payments are made
        in US
        dollars. Any resulting foreign exchange fluctuations do not affect the payment
        of employees, contract labor or off shore operations.
 
 Revenue
        Recognition
 
 We
        recognize revenues as the survey data is collected for the client in accordance
        with the terms of our agreements. Research products are delivered within
        a short
        period, generally ranging from a few days to approximately eight weeks. An
        appropriate deferral is made for direct costs related to contracts in process,
        and no revenue is recognized until delivery of the data has taken place.
        Billings rendered in advance of services being performed, as well as customer
        deposits received in advance, are recorded as a current liability included
        in
        deferred revenue. We are required to estimate contract losses, if any, and
        provide for such losses in the period they are determined and estimable.
        We do
        not believe that there are realistic alternatives to our revenue recognition
        policy given the short period of service delivery and the requirement to
        deliver
        completed surveys to our customers. We do not believe there is significant
        risk
        of recognizing revenue prematurely since our contracts are standardized,
        the
        earnings process is short and no single project accounts for a significant
        portion of our revenue.
 
 Basis
        of
        Accounting
 
 The
        Company's policy is to prepare the financial statements on the accrual basis
        of
        accounting. The Company’s year end is December 31.
 
 In
        the
        opinion of management, all adjustments necessary in order to make the financial
        position, results of operations and changes in financial position at September
        30, 2007, and for all periods presented not misleading have been made. The
        results of operations for the period ended September 30, 2007 are not
        necessarily an indication of operating results to be expected for the full
        year
        ending December 31, 2007.
  7
  Recently
        issued accounting standards
 
 In
        February 2007, the FASB issued SFAS No. 159, "The Fair Value Option for
        Financial Assets and Financial Liabilities." This Statement permits entities
        to
        choose to measure many financial instruments and certain other items at fair
        value that are not currently required to be measured at fair value. The
        objective is to improve financial reporting by providing entities with the
        opportunity to mitigate volatility in earnings caused by measuring related
        assets and liabilities differently without having to apply complex hedge
        accounting provisions. This Statement also establishes presentation and
        disclosure requirements designed to facilitate comparisons between entities
        that
        choose different measurement attributes for similar types of assets and
        liabilities. This Statement is effective for financial statements issued
        for
        fiscal years beginning after November 15, 2007. The Company has not yet
        determined the impact of the adoption of SFAS No. 159 on our financial
        statements and footnote disclosures.
 
 NOTE
        3 -
        PROPERTY AND EQUIPMENT
 
 Property
        and equipment are made up of the following as of September 30,
        2007:
 
 Equipment
                  and machinery
              
              $
              922,889Office
                  equipment
              
              
              1,072,913Leasehold
                  improvements
              
              
              1,999,285Licenses
              
              
              230,000Accumulated
                  depreciation
              
              
              (1,022,840
              )$
              3,202,247
 
 NOTE
        4 -
        NOTES PAYABLE
 
 During
        the 9 months ended September 30, 2007, 171,429 shares of common stock were
        issued to settle $60,000 of the outstanding notes payable from the November
        2004
        financing.
 
 During
        the same period, 6,559,919 shares were issued to settle $2,055,065 of principal
        and interest on the convertible notes. An additional 2,841,667 shares were
        issued to satisfy outstanding warrants, with the settlement of $912,500 of
        debt.
 
 The
        total
        notes outstanding as of September 30, 2007 are $3,933,854 plus accrued interest
        of $245,436. As of September 30, 2007, there still remains $398,494 of debt
        discount which is being accreted over the term of the notes.
 
 On
        March
        17, 2007, the company issued a note payable for $50,000 at 15% per year.
        This
        note is due by March 17, 2009. 10,000 shares of common stock, valued at $4,800,
        were issued to the lender in connection with this note payable.
 
 On
        May
        25, 2007, the company issued a note payable for $250,000 at 1.5%
        per
 month.
        This note has been paid in full.
 
 NOTE
        5 -
        STOCKHOLDERS' EQUITY
 
 The
        company issued shares of common stock for services during the 9 months ended
        September 30, 2007.
 
 50,000
        shares were issued to a consultant as compensation, valued at
        $19,000.
  8
  10,000
        shares were issued to a lender in connection with a loan made, these shares
        were
        valued at $0.48, the date of the note, or $4,800.
 
 171,429
        shares of common stock were issued to settle $60,000 of debt.
 
 6,559,919
        shares were issued to settle $2,055,065 of principal and interest on the
        convertible notes. An additional 2,841,667 shares were issued to satisfy
        outstanding warrants, with the settlement of $912,500 of debt.
 
 There
        were no other issuances of stock or options other than those mentioned
        above.
 
 NOTE
        6 -
        RELATED PARTY TRANSACTIONS
 
 During
        the nine months ended September 30, 2007, the company billed approximately
        $1,112,084 to Sandelman & Associates, a company controlled by a board
        member, which amounted to 7.5% of our total revenue for the period.
 
 NOTE
        7 -
        FOREIGN OPERATIONS
 
 The
        company currently operates out of the United States, Costa Rica and the
        Dominican Republic. The future plans of the company are to expand its presence
        in Costa Rica and ultimately close its operations in the Dominican Republic.
        Management does not feel there is a currency risk or need to assess a foreign
        currency translation adjustment or other comprehensive income item as income
        and
        expense items are negotiated in the US dollar. The Company maintains their
        accountings records in U.S. dollars and all payments are made in US dollars.
        All
        debts and assets on the books of the company are valued based on US dollars
        and
        are not translated from a foreign currency amount. The Company currently
        coordinates all foreign operations, and supervision activities using part
        time
        employees, consultants and contract labor. All of the Company's workforce
        work
        outside of the United States. Senior management does maintain residence in
        the
        United States. Currently most clients are US based companies with the exception
        of one company located in Canada. Any resulting foreign exchange fluctuations
        do
        not affect the payment of employees, contract labor or off shore
        operations.
 
 NOTE
        8 -
        CREDIT AGREEMENT
 
 On
        September 6, 2007, Datascension, Inc. (the “Company”), as borrower, entered into
        a Credit Agreement with Comerica Bank, as lender (dated as of August 30,
        2007),
        which provides for a revolving credit facility of up to $2,000,000. The Credit
        Agreement provides for a one year term, and outstanding balances bear interest
        at the rate equal to the prime rate (as determined by Comerica Bank from
        time to
        time) plus two percent (2%). Under the Credit Agreement, the Company may
        borrow
        funds from Comerica Bank from time to time in an amount equal to 85% of eligible
        receivables (as set forth in the Credit Agreement), and all advances under
        the
        Credit Agreement are secured by a first lien against all of the assets of
        Datascension, Inc. and its subsidiary, Datascension, Inc. (a California
        corporation), as well as a pledge of the stock of the subsidiary.
 
 Item
        2.
        Management's Discussion and Analysis of Financial Condition and Results of
        Operations.
 
 The
        following is a discussion of certain factors affecting DSEN's results of
        operations, liquidity and capital resources. You should read the following
        discussion and analysis in conjunction with the Registrant's condensed
        consolidated financial statements and related notes that are included herein
        under Item 1 above.
  9


Overview
 
 Datascension
        Inc, ("DSEN") through its sole subsidiary Datascension International, Inc,
        is
        engaged in data gathering and conducting outsourced market research. Its
        expertise is in the collection, storage, and processing of data. Datascension
        International's management team has over 30 years of experience in working
        with
        clients to gather the information they need to make changes or advancements
        to
        their operations. Datascension International services a variety of industries
        and customers (including the hospitality, entertainment, and automotive sectors)
        with emphasis and commitment to customer service, quality assurance and on-time
        project management.
 
 Critical
        Accounting Policies and Estimates
 
 Our
        discussion and analysis of financial condition and results of operations
        is
        based upon our financial statements, which have been prepared in accordance
        with
        accounting principles generally accepted in the United States of America.
        The
        preparation of these financial statements requires us to make estimates and
        judgments that affect the reported amounts of assets, liabilities, revenue
        and
        expenses, and related disclosure of contingent assets and liabilities. On
        an
        ongoing basis, we evaluate our estimates. We base our estimates on historical
        experience and on various other assumptions that we believe to be reasonable
        under the circumstances. These estimates and assumptions provide a basis
        for
        making judgments about the carrying values of assets and liabilities that
        are
        not readily apparent from other sources. Actual results may differ from these
        estimates under different assumptions or conditions, and these differences
        may
        be material.
 
 We
        believe the following critical accounting policies affect its more significant
        judgments and estimates used in the preparation of its consolidated financial
        statements.
 
 Foreign
        Currency
 
 DSEN
        maintains its accounting records in U.S. dollars and all payments are made
        in US
        dollars. Any resulting foreign exchange fluctuations do not affect the payment
        of employees, contract labor or off shore operations.
 
 Revenue
        Recognition.
 
 We
        recognize revenues as the survey data is collected for the client in accordance
        with the terms of our agreements. Research products are delivered within
        a short
        period, generally ranging from a few days to approximately eight weeks. An
        appropriate deferral is made for direct costs related to contracts in process,
        and no revenue is recognized until delivery of the data has taken place.
        Billings rendered in advance of services being performed, as well as customer
        deposits received in advance, are recorded as a current liability included
        in
        deferred revenue. We are required to estimate contract losses, if any, and
        provide for such losses in the period they are determined and estimable.
        We do
        not believe that there are realistic alternatives to our revenue recognition
        policy given the short period of service delivery and the requirement to
        deliver
        completed surveys to our customers. We do not believe there is significant
        risk
        of recognizing revenue short and no single project accounts for a significant
        portion of our revenue.
 
 Basis
        of
        Accounting
 
 The
        Company's policy is to prepare the financial statements on the accrual basis
        of
        accounting. The Company's year end is December 31.
 
 10
  In
        the
        opinion of management, all adjustments necessary in order to make the financial
        position, results of operations and changes in financial position at September
        30, 2007, and for all periods presented not misleading have been made. The
        results of operations for the period ended September 30, 2007 are not
        necessarily an indication of operating results to be expected for the full
        year
        ending December 31, 2007.
 
 Recently
        issued accounting standards
 
 In
        February 2007, the FASB issued SFAS No. 159, "The Fair Value Option for
        Financial Assets and Financial Liabilities." This Statement permits entities
        to
        choose to measure many financial instruments and certain other items at fair
        value that are not currently required to be measured at fair value. The
        objective is to improve financial reporting by providing entities with the
        opportunity to mitigate volatility in earnings caused by measuring related
        assets and liabilities differently without having to apply complex hedge
        accounting provisions. This Statement also establishes presentation and
        disclosure requirements designed to facilitate comparisons between entities
        that
        choose different measurement attributes for similar types of assets and
        liabilities. This Statement is effective for financial statements issued
        for
        fiscal years beginning after November 15, 2007. The Company has not yet
        determined the impact of the adoption of SFAS No. 159 on our financial
        statements and footnote disclosures.
 
 DSEN's
        website address is http://www.datascension.com.
 
 Results
        of Operations
 
 Analysis
        of the nine months ended September 30, 2007 compared to the nine months ended
        September 30, 2006.
 
 For
        the
        nine-months, ended September 30, 2007, DSEN has generated $14,783,286 in
        revenues compared to $10,827,468 in revenues for the nine-months ended September
        30, 2006, for an increase of $3,995,818. The increase in revenue is a result
        of
        an increase in new clients, along with an increase in number of hours billed
        and
        hourly billing rates.
 
 Cost
        of
        goods sold for the nine-months ended September 30, 2007 was $12,566,031 compared
        to $8,042,058 for the nine-months ended September 30, 2006 or an increase
        of
        $4,523,973. This increase was a result of the increased clients and service
        contracts completed, as well as the increase in operating costs associated
        with
        the new facility in Costa Rica and costs associated with technology
        implementation at the new facility.
 
 Total
        general and administrative expenses decreased to $1,668,909 for the nine-months
        ended September 30, 2007 from $2,003,370 for the nine-months ended September
        30,
        2006, a net decrease of $334,461. The decrease is due to largely to a
        consolidation of operations in Central America and reduction in operating
        costs.
 
 There
        was
        no stock based compensation for the nine months ended September 30, 2007
        and
        $694,351 in stock based compensation for the nine months ended September
        30,
        2006.
 
 Depreciation
        expense for the nine-months ended September 30, 2007 was $163,581 compared
        to
        $167,242 for the nine-months ended September 30, 2006, a minimal decrease
        of
        $3,661. The decrease resulted from no purchases or minimal purchase of
        additional assets in the last twelve months.
 
 11
  Interest
        expense for the nine months ended September 30, 2007 was $794,693 compared
        to
        $321,986 for the nine-months ended September 30, 2006 an increase of $472,707.
        This increase relates to the debt funding increase in the last twelve months.
 
 Datascension
        generated net loss of $409,928 for the nine-months ended September 30, 2007,
        versus $861,728 for the same period in 2006. The decrease in net income of
        $1,271,656 is primarily a result of increased revenue and lack of stock based
        compensation in the first nine months of 2007. For the nine-months ended
        September 30, 2007, DSEN decreased its working capital position by a net
        amount
        of $1,208,916 from $1,092,202 as of December 31, 2006 to $(116,714) as of
        September 30, 2007. This is mainly due to an increase in accounts receivable
        of
        $929,137 and an increase in prepaid expenses of $543,903, offset by an increase
        in short term notes payable of $**1,978 and an increase in current portion
        of
        long-term notes payable of $1,420,707.
 
 Significant
        Subsequent Events occurring after September 30, 2007: None.
 
 Capital
        Resources and Liquidity
 
 On
        September 30, 2007 DSEN had total assets of $9,357,429 compared to $7,915,359
        on
        September 30, 2006, an increase of $1,226,087. The reason for the increase
        in
        assets is a result of the increase in accounts receivable and prepaid expenses.
        DSEN had a total stockholders' equity of $3,863,346 on September 30, 2007
        compared to $2,257,104 on September 30, 2006, an increase in equity of
        $2,641,439, which is in part due to the marked increase of assets over the
        past
        12 months and conversion of indebtedness into common stock, which drove marked
        increases in paid in capital.
 
 All
        assets are booked at historical purchase price and there is no variance between
        book value and the purchase price.
 
 On
        September 30, 2007 DSEN had Property and Equipment of $3,202,247 compared
        to
        $1,005,857 on September 30, 2006, or an increase of $2,196,390 which is a
        result
        of the completion of the new facility in Costa Rica at the end of
        2006.
 
 As
        discussed above DSEN intends to meet its financial needs for operations through
        the collection of accounts receivable and servicing of current contracts.
 
 DSEN's
        capital resources are comprised primarily of private investors, who are either
        existing contacts of the Registrant's management or who come to the attention
        of
        the Registrant through brokers, financial institutions and other intermediaries.
        The Registrant’s access to capital is always dependent upon general financial
        market conditions. The Registrant's capital resources are not anticipated
        to
        change materially in 2007.
 
 DSEN
        has
        financed operations through the collections of accounts receivable, servicing
        of
        existing contracts and the sale of common stock and through financing from
        financial institutions. In order to sustain operations in the near term,
        it is
        anticipated that DSEN has sufficient working capital due to revenues received
        and fundraising activities in the fourth quarter of 2006, although it may
        need
        to raise additional capital to expand operations. If it is unable to raise
        this
        capital, it may be unable to continue to increase operations.
 
 DSEN's
        future capital requirements will depend on numerous factors, including the
        profitability of our research projects and our ability to control costs.
        We
        believe that our current assets will be sufficient to meet our operating
        expenses and capital expenditures. However, we cannot predict when and if
        any
        additional capital contributions may be needed and we may need to seek one
        or
        more substantial new investors. New investors could cause substantial dilution
        to existing stockholders.
 
 12
  There
        can
        be no assurances that DSEN will be successful in raising additional capital
        via
        debt or equity funding, or that any such transactions, if consummated, will
        be
        on terms favorable to DSEN. In the event that additional capital is not obtained
        from other sources, it may become necessary to alter development plans or
        otherwise abandon certain ventures.
 
 If
        DSEN
        needs to raise additional funds in order to fund expansion, develop new or
        enhanced services or products, respond to competitive pressures or acquire
        complementary products, businesses or technologies, any additional funds
        raised
        through the issuance of equity or convertible debt securities, the percentage
        ownership of the stockholders of DSEN will be reduced, stockholders may
        experience additional dilution and such securities may have rights, preferences
        or privileges senior to those of DSEN's Common Stock. DSEN does not currently
        have any contractual restrictions on its ability to incur debt and, accordingly,
        DSEN could incur significant amounts of indebtedness to finance its operations.
        Any such indebtedness could contain covenants, which would restrict DSEN's
        operations.
 
 Off-Balance
        Sheet Arrangements.
 
 DSEN
        currently does not have any off-balance sheet arrangements.
 
 Forward-Looking
        Information
 
 This
        quarterly report contains forward-looking statements. The forward- looking
        statements include all statements that are not statements of historical fact.
        The forward-looking statements are often identifiable by their use of words
        such
        as "may," "expect," "believe," "anticipate," "intend," "could," "estimate,"
        or
        "continue," "Plans" or the negative or other variations of those or comparable
        terms. Our actual results could differ materially from the anticipated results
        described in the forward-looking statements. Factors that could affect our
        results include, but are not limited to, those discussed in Item 2,
        "Management's Discussion and Analysis or Plan of Operation" and included
        elsewhere in this report. DSEN makes no commitment to update any forward-looking
        statement or to disclose any facts, events, or circumstances after the date
        hereof that may affect the accuracy of any forward-looking
        statement.
 
 Item
        3.
        Controls and Procedures.
 
 (a)
        Our
        Chief Executive Officer (CEO) and Principal Financial Officer evaluated the
        effectiveness of our disclosure controls and procedures (as defined in Rules
        13a-15(e) and 15d-15(e) of the Securities Exchange Act of 1934, as amended)
        as
        of the end of the period covered by this report. Based upon the evaluation,
        concluded that the disclosure controls and procedures are effective in ensuring
        all required information relating to DSEN is included in this quarterly
        report.
 
 We
        also
        maintain a system of internal control over financial reporting (as defined
        in
        Rules 13a-15(f) and 15d-15(f)) designed to provide reasonable assurance
        regarding the reliability of financial reporting and the preparation of
        financial statements for external purposes in accordance with accounting
        principles generally accepted in the United States of America.
 
 13
 
 (b)
        Changes in internal controls. During our most recent fiscal quarter, there
        have
        been no changes in our internal control over financial reporting that occurred
        that have materially affected or are reasonably likely to materially affect
        our
        internal control over financial reporting.
 
 Item
        1.
        Legal Proceedings.
 
 DSEN
        is
        not a party to any pending material legal proceeding. To the knowledge of
        management, no federal, state or local governmental agency is presently
        contemplating any proceeding against DSEN. To the knowledge of management,
        no
        director, executive officer or affiliate of DSEN, any owner of record or
        beneficially of more than 5% of DSEN's common stock is a party adverse to
        DSEN
        or has a material interest adverse to DSEN in any proceeding.
 
 Item
        2.
        Unregistered Sales of Equity Security and Use of Proceeds.
 
 None.
 
 Item
        3.
        Defaults Upon Senior Securities
 
 None.
 
 Item
        4.
        Submission of Matters to a Vote of Security Holders
 
 None.
 
 Item
        5.
        Other Information
 
 None.
 
 Item
        6.
        Exhibits and Reports on Form 8-K
 
 Exhibits
 
 (a)
        Exhibit 10.46. Credit Agreement with Comerica Bank, dated as of August 30,
        2007,
        and related ancillary agreements.
 
 (b)
        Exhibit 31. Certifications required by Rule 13a-14(a) or Rule 15d-
        14(a)
 
 31.1
        Certification of Chief Executive Officer and Principal Financial Officer
        pursuant to 18 U.S.C.ss.1850 as adopted pursuant to Section 302 of the
        Sarbanes-Oxley Act of 2002.
 
 (c)
        Exhibit 32. Certifications required by Rule 13a-14(b) or Rule 15d- 14(b)
        and
        section 906 of the Sarbanes-Oxley Act of 2002, 18 U.S.C. Section 1350
 
 32.1
        Certification of Chief Executive Officer and Principal Financial Officer
        pursuant to 18 U.S.C.ss.1850 as adopted pursuant to Section 906 of the
        Sarbanes-Oxley Act of 2002.
 
 Reports
        on Form 8-K
 
 Current
        report on Form 8-K, filed on September 10, 2007, with respect to the Company’s
        Credit Agreement with Comerica Bank.
  14
  SIGNATURES
 
 In
        accordance with Section 13 or 15(d) of the Exchange Act, the registrant caused
        this report to be signed on its behalf by the undersigned, thereunto duly
        authorized.
 
 Datascension,
                  Inc./s/
                  D. Scott KincerD.
                  Scott KincerPresident,
                  Chairman and Director(Principal
                  Executive Officer)/s/
                  D. Scott KincerD.
                  Scott Kincer(Principal
                  Financial Officer)Date:
                  November 16, 2007
 
 Pursuant
        to the requirements of Section 12 of the Securities Exchange Act of 1934,
        the
        registrant has duly caused this report to be signed on its behalf by the
        undersigned, thereunto duly authorized.
 
 /s/
                  D. Scott KincerD.
                  Scott KincerPresident,
                  Chairman and Director(Principal
                  Executive Officer)/s/
                  D. Scott KincerD.
                  Scott Kincer(Principal
                  Financial Officer)Date:
                  November 16, 2007
 
 15