--------------------------------------------------------------------------------
                                 Tim Harrington
                                    PRESIDENT
                      Reliant Interactive Media Corporation
                          2701 N. Rocky Pointe Dr #200
                              Tampa, Florida 33607
            (Name and Address of Person Authorized to Receive Notices
          and Communications on Behalf of the Person Filing Statement)
--------------------------------------------------------------------------------
                                 WITH A COPY TO:
                             KARL E. RODRIGUEZ, ESQ
                      34700 Pacific Coast Highway Suite 303
                           Capistrano Beach, CA 92624
                                 (949) 248-9561
                               fax (949) 248-1688
--------------------------------------------------------------------------------




                                  UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549

                                   FORM 10-QSB

[X]  QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE
ACT  OF  1934
                  For the Quarterly Period ended March 31, 2001

[  ]  TRANSITION  REPORT  PURSUANT  TO  SECTION  13 or 15(d) OF THE EXCHANGE ACT
     For  the  transition  period  from  ____________  to  ____________

                        Commission File Number:  0-26699

                         Reliant Interactive Media Corp.

        (Exact name of small business issuer as specified in its charter)

Nevada                                                                91-2007224
(State  or  other  jurisdiction             (IRS  Employer  Identification  No.)
of  incorporation  or  organization)

            2701 N. Rocky Point Dr., Suite 200, Tampa, Florida 33607
                    (Address of principal executive offices)

                                 (813) 282-1717
                           (Issuer's telephone number)

As  of  May 16, 2001, the number of shares outstanding of issuer's common stock,
 .001  par  value,  was  10,766,321.


Transitional  Small  Business  Disclosure  Format  (check  one):  yes [ ] no [X]

                                        1


                          PART I: FINANCIAL INFORMATION

ITEM  1.  FINANCIAL  STATEMENTS.

The  financial  statements,  for the three months ended March 31, 2001, included
herein  have  been  prepared by the Company, without audit pursuant to the rules
and  regulations of the Securities and Exchange Commission.  Certain information
and  footnotes  disclosure normally included in financial statements prepared in
accordance  with generally accepted accounting principles have been condensed or
omitted  pursuant  to  such rules and regulations, although the Company believes
that  the  disclosures  are  adequate  to  make  the information not misleading.

                THE REST OF THIS PAGE INTENTIONALLY LEFT BLANK

                                        2


                      RELIANT INTERACTIVE MEDIA CORPORATION

                        CONSOLIDATED FINANCIAL STATEMENTS

                      MARCH 31, 2001 AND DECEMBER 31, 2000

                                        3


                      RELIANT INTERACTIVE MEDIA CORPORATION
                           Consolidated Balance Sheets

                                     ASSETS

                                             March  31,          December 31,
                                                2001                 2000
                                            (Unaudited)
--------------------------------------------------------------------------------
CURRENT  ASSETS

     Cash  and  cash  equivalents        $     468,123          $     298,734
     Restricted  cash                        1,895,499              1,868,254
     Accounts  receivable,  net                604,242                394,298
     Receivables  -  other                   1,530,173              1,505,201
     Inventory                               1,075,147                812,416
     Employee  advances                         19,403                 17,127
     Deferred  tax  asset                      594,878                      0
     Prepaid  expenses                         178,707                200,543
                                         -------------------------------------
          Total  Current  Assets             6,366,172              5,096,573

PROPERTY  AND  EQUIPMENT

     Machinery  and  equipment                  36,625                 36,625
     Office furniture and computer equipment    70,046                 50,792
     Leasehold  improvements                    37,239                 37,239
                                         -------------------------------------
          Total  Property  and  Equipment      143,910                124,656
          Less:  Accumulated  depreciation     (53,733)               (47,032)
                                         -------------------------------------
          Net  Property  and  Equipment         90,177                 77,624
                                         -------------------------------------
OTHER  ASSETS

     Deposits                                   53,690                 67,112
     Other  assets,  net                        19,953                      0
     Prepaid  advertising                      811,746              1,224,648
                                         -------------------------------------
          Total  Other  Assets                 885,389              1,291,760
                                         -------------------------------------
          TOTAL  ASSETS                $     7,341,738        $     6,465,957
                                         =====================================

  The accompanying notes are an integral part of these financial statements.

                                        4


                      RELIANT INTERACTIVE MEDIA CORPORATION
                     Consolidated Balance Sheets (Continued)


LIABILITIES  AND  STOCKHOLDERS'  EQUITY

                                                March  31,       December 31,
                                                  2001               2000
                                               (Unaudited)
--------------------------------------------------------------------------------

CURRENT  LIABILITIES

  Accounts payable and accrued expenses     $     1,104,236       $    957,908
  Income  taxes  payable                              7,112             33,562
  Allowance  for  sales  returns                    564,830            447,626
  Notes  payable  -  current  portion               561,788            954,092
  Notes  payable  -  related  parties               275,000            362,500
                                            -----------------------------------
          Total  Liabilities                      2,512,966          2,755,688
                                            -----------------------------------
COMMITMENTS  AND  CONTINGENCIES  (Note  3)

STOCKHOLDERS'  EQUITY

  Common stock: 50,000,000 shares authorized of $0.001
  par value, 11,268,821 and 7,348,821 shares issued
  and outstanding, respectively                      11,269              7,349
  Additional paid-in capital                      7,099,316          4,712,636
  Other comprehensive income                          8,620                  0
  Accumulated deficit                            (2,290,433)        (1,009,716)
                                            -----------------------------------
    Total  Stockholders' Equity                   4,828,772          3,710,269
                                            -----------------------------------
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY   $    7,341,738     $    6,465,957
                                            ===================================

  The accompanying notes are an integral part of these financial statements.

                                        5


                      RELIANT INTERACTIVE MEDIA CORPORATION
                      Consolidated Statements of Operations
                                   (Unaudited)

                                               For  the  Three  Months  Ended
                                                         March  31,
                                                  2001                2000
--------------------------------------------------------------------------------
NET  SALES                          $     28,821,828          $     20,131,204

COST  OF  SALES                           23,683,919                16,345,755
                                    -------------------------------------------
GROSS  PROFIT                              5,137,909                 3,785,449
                                    -------------------------------------------
OPERATING  EXPENSES

     Depreciation  and  amortization           7,208                     4,485
     General  and  administrative          2,069,661                   742,573
     Selling  and  marketing               2,334,737                 2,701,911
     Royalties                               202,750                   214,615
     Stock  bonus  compensation            2,380,200                         0
                                    -------------------------------------------
          Total  Operating  Expenses       6,994,556                 3,663,584
                                    -------------------------------------------
OPERATING  INCOME  (LOSS)                 (1,856,647)                  121,865
                                    -------------------------------------------
OTHER  INCOME  (EXPENSES)

     Loss  on  exchange  rate                 (1,344)                        0
     Interest  expense                       (20,027)                  (12,067)
     Interest  income                          2,423                       170
                                    -------------------------------------------
          Total Other Income (Expenses)      (18,948)                  (11,897)
                                    -------------------------------------------
INCOME  (LOSS)  BEFORE  INCOME  TAXES     (1,875,595)                  109,968

INCOME  TAX  BENEFIT  (EXPENSE)              594,878                         0
                                    -------------------------------------------
NET  INCOME  (LOSS)                       (1,280,717)                  109,968
                                    -------------------------------------------
OTHER  COMPREHENSIVE  INCOME

  Foreign currency translation adjustment      8,620                         0
                                    -------------------------------------------
  TOTAL COMPREHENSIVE INCOME (LOSS)   $   (1,272,097)              $   109,968
                                    ===========================================
BASIC INCOME (LOSS) PER SHARE (Note 6)    $    (0.12)              $      0.02
                                    ===========================================
DILUTED INCOME (LOSS) PER SHARE (Note 6)  $    (0.12)              $      0.02
                                    ===========================================

  The accompanying notes are an integral part of these financial statements.

                                        6


                      RELIANT INTERACTIVE MEDIA CORPORATION
                 Consolidated Statements of Stockholders' Equity


<TABLE>
<CAPTION>
<S>                                     <C>             <C>          <C>              <C>            <C>
                                                                       Additional       Other
                                                Common  Stock           Paid-in     Comprehensive       Accumulated
                                           Shares        Amount         Capital         Income            Deficit
----------------------------------------------------------------------------------------------------------------------

Balance, December 31, 1999               6,310,271    $     6,310    $   3,245,049    $        0    $      (2,567,978)

Capital  withdrawals                             0              0         (166,100)            0                    0

Common  stock issued for services          538,550            539          734,187             0                    0

Common  stock  issued  for  cash           500,000            500          999,500             0                    0

Stock  offering  costs                           0              0         (100,000)            0                    0

Net  income  for  the  year  ended
 December  31,  2000                             0              0                0             0            1,558,262
                                         -----------------------------------------------------------------------------
Balance,  December  31,  2000            7,348,821          7,349        4,712,636             0           (1,009,716)

Common  stock  issued  for  services
 (unaudited)                                20,000             20           10,380             0                    0

Common  stock  issued  for  bonuses
 (unaudited)                             3,900,000          3,900        2,376,300             0                    0

Currency  translation  adjustment
 (unaudited)                                     0              0                0          8,620                   0

Net  loss  for  the  three  months  ended
 March  31,  2001  (unaudited)                   0              0                0              0          (1,280,717)
                                        ------------------------------------------------------------------------------
Balance,  March  31,  2001
 (unaudited)                            11,268,821    $    11,269    $   7,099,316    $     8,620    $     (2,290,433)
                                        ==============================================================================
</TABLE>

  The accompanying notes are an integral part of these financial statements.

                                        7


                      RELIANT INTERACTIVE MEDIA CORPORATION
                      Consolidated Statements of Cash Flows
                                   (Unaudited)

                                             For  the  Three  Months  Ended
                                                        March  31,
                                                2001                  2000
--------------------------------------------------------------------------------

CASH  FLOWS  FROM  OPERATING  ACTIVITIES

 Net  income  (loss)                       $     (1,280,717)     $     109,968
 Adjustments  to  reconcile  net  income  (loss)  to
 net  cash  provided  in  operating  activities:
 Depreciation  and  amortization                      7,208              4,485
 Amortization  of  prepaid  advertising             824,922            194,610
 Currency  translation  adjustment                    8,620                  0
 Allowance  for  sales  returns                     117,204            245,122
 Common stock issued for services and bonuses     2,390,600             57,750
     Changes  in  assets  and  liabilities:
          Restricted  cash                          (27,245)          (128,920)
          Accounts  receivable                     (503,938)                 0
          Accounts  receivable - other              (24,972)          (548,447)
          Deferred  tax  asset                     (594,878)                 0
          Inventory                                (262,731)             6,321
          Deposits                                   13,422            (67,112)
          Prepaids  and  advances                    19,560                 43
          Prepaid  advertising                     (412,020)          (423,485)
          Accounts payable and accrued expenses     146,328            907,548
          Income  taxes  payable                    (26,450)                 0
                                           ------------------------------------
   Net Cash Provided in Operating Activities        394,913            357,883
                                           ------------------------------------
CASH  FLOWS  FROM  INVESTING  ACTIVITIES

     Investment  in  other  assets                  (20,460)                 0
     Purchase  of  property  and  equipment         (19,254)           (37,239)

   Net  Cash  Used  in  Investing  Activities       (39,714)           (37,239)

CASH  FLOWS  FROM  FINANCING  ACTIVITIES

     Capital  withdrawals                                 0           (138,500)
     Payments on notes payable-related parties      (87,500)                 0
     Payments  on  line  of  credit                       0           (132,148)
     Payments  on  notes  payable                   (98,310)                 0
                                           ------------------------------------
   Net  Cash  Used by Financing Activities     $   (185,810)     $    (270,648)
                                           ------------------------------------

  The accompanying notes are an integral part of these financial statements.

                                        8


                      RELIANT INTERACTIVE MEDIA CORPORATION
                Consolidated Statements of Cash Flows (Continued)
                                   (Unaudited)


                                             For  the  Three  Months  Ended
                                                        March  31,
                                                2001                  2000
--------------------------------------------------------------------------------
NET INCREASE IN CASH AND CASH EQUIVALENTS    $    169,389          $    49,996

CASH  AND  CASH  EQUIVALENTS,  BEGINNING
 OF  PERIOD                                       298,734               26,404
                                             ----------------------------------
CASH AND CASH EQUIVALENTS, END OF PERIOD     $    468,123          $    76,400
                                             ==================================
Cash  Payments  For:

     Income  taxes                          $      26,450          $         0
     Interest                               $      13,152          $    12,067

Non-Cash  Financing  and  Investing  Activities:

     Common  stock  issued  for  services  and  bonus
       compensation                         $  2,390,600           $    57,750

  The accompanying notes are an integral part of these financial statements.

                                        9


                      RELIANT INTERACTIVE MEDIA CORPORATION
                 Notes to the Consolidated Financial Statements
                                 March 31, 2001

NOTE  1  -     BASIS  OF  FINANCIAL  STATEMENT  PRESENTATION

The accompanying unaudited condensed consolidated financial statements have been
prepared  by the Company pursuant to the rules and regulations of the Securities
and  Exchange Commission.  Certain information and footnote disclosures normally
included  in financial statements prepared in accordance with generally accepted
accounting  principles  have  been  condensed or omitted in accordance with such
rules  and  regulations.  The  information  furnished  in  the interim condensed
consolidated  financial  statements  include  normal  recurring  adjustments and
reflects all adjustments, which, in the opinion of management, are necessary for
a  fair presentation of such financial statements.  Although management believes
the  disclosures  and information presented are adequate to make the information
not  misleading,  it  is  suggested  that  these  interim condensed consolidated
financial  statements  be  read  in  conjunction  with the Company's most recent
audited financial statements and notes thereto included in its December 31, 2000
Annual  Report  on  Form  10-KSB.  Operating  results for the three months ended
March  31,  2001  are  not  necessarily  indicative  of  the results that may be
expected  for  the  year  ending  December  31,  2001.

NOTE  2  -     OTHER  COMPREHENSIVE  INCOME

The  Company  reports other comprehensive income in accordance with Statement of
Financial  Accounting Standards No. 130, "Reporting Comprehensive Income" ("SFAS
No.  130").  SFAS  No.  130 establishes standards for reporting in the financial
statements  all  changes  in equity during a period, except those resulting from
investments  by  and  distributions  to  owners.  For  the  Company,  other
comprehensive  income  consists  of  foreign  currency  translation adjustments.
Total  other comprehensive income was $8,620 and $-0- for the three months ended
March  31,  2001  and  2000,  respectively.

NOTE  3  -     COMMITMENTS  AND  CONTINGENCIES

     Employment  Agreements

The  Company has entered into an employment agreement with Kevin Harrington, CEO
of  the  Company.  Mr. Harrington will receive an annual salary of $250,000.  In
addition,  Mr.  Harrington  shall receive 100,000 shares of the Company's common
stock  for  each $10,000,000 in sales of the Company with a maximum of 3,000,000
shares  to  be  issued.  However, none of these shares shall be earned or issued
until  the  Company's  sales  exceed an aggregate of $125,000,000 beginning from
January  1,  1999.  The  employment  agreement  ends  on  December  15,  2005.

The  Company  has  entered  into  an  employment  agreement with Tim Harrington,
President  of  the  Company.  Mr.  Harrington  will  receive an annual salary of
$250,000.  In  addition,  Mr.  Harrington  shall  receive  100,000 shares of the
Company's  common  stock  for  each  $10,000,000  in sales of the Company with a
maximum  of  2,000,000 shares to be issued.  However, none of these shares shall
be  earned  or  issued  until  the  Company's  sales  exceed  an  aggregate  of
$125,000,000  beginning  from January 1, 1999.  The employment agreement ends on
December  15,  2005.

                                       10


                      RELIANT INTERACTIVE MEDIA CORPORATION
                 Notes to the Consolidated Financial Statements
                                 March 31, 2001

NOTE  3  -     COMMITMENTS  AND  CONTINGENCIES  (Continued)

The  Company has entered into an employment agreement with Mel Arthur, Executive
Vice  President  of  the  Company.  Mr.  Arthur will receive an annual salary of
$250,000.  In addition, Mr. Arthur shall receive 100,000 shares of the Company's
common  stock  for  each  $10,000,000  in sales of the Company with a maximum of
900,000  shares  to be issued.  However, none of these shares shall be earned or
issued  until  the Company's sales exceed an aggregate of $125,000,000 beginning
from  January  1,  1999.  The  employment  agreement  ends on December 15, 2005.

NOTE  4  -     EQUITY  TRANSACTIONS

During  the  three months ended March 31, 2001, the Company reached and exceeded
an  aggregate  of  $150,000,000 in sales beginning from January 1, 1999 and as a
result,  three  officers  of  the  Company  earned  their  respective  revenue
performance bonuses as detailed in their employment contracts (see Note 3).  The
Company  issued 1,500,000 shares of common stock to Kevin Harrington, CEO of the
Company,  1,500,000  shares  of common stock to Tim Harrington, President of the
Company,  and  900,000  shares  of  common  stock  to  Mel  Arthur,  Executive
Vice-President  of  the  Company  in  payment of these bonuses.  The shares were
valued  at  the  market  price  of  the common stock on the date the shares were
earned.  The  Company also issued an additional 20,000 shares of common stock to
employees  of  the  Company  for  services  rendered.

NOTE  5  -     RECLASSIFICATIONS

Certain  2000  amounts  have  been  reclassified  to  conform  to  the  2001
presentations.

NOTE  6  -     BASIC  AND  DILUTED  INCOME  (LOSS)  PER  SHARE

The  computation of basic and diluted income (loss) per share of common stock is
based  on the weighted average number of shares outstanding during the period of
the  financial  statements  as  follows:

                                            For  the  Three  Months  Ended
                                                    March  31,  2001
--------------------------------------------------------------------------------
                                  Loss               Shares          Per-Share
                              (Numerator)         (Denominator)        Amount
                          ------------------------------------------------------
 Basic Income (Loss) Per Share
 Income available  to
 common stockholders      $   (1,280,717)       10,486,377          $     (0.12)
                                                                  ==============
 Effect of Dilutive Securities
 Common stock options                  0                  0
                          ---------------------------------------
 Fully Diluted Income (Loss) Per Share
 Income available to
 common stockholders
 plus assumed conversions  $  (1,280,717)        10,486,377          $    (0.12)
                         =======================================================

                                       11


                      RELIANT INTERACTIVE MEDIA CORPORATION
                 Notes to the Consolidated Financial Statements
                                 March 31, 2001


NOTE  6  -     BASIC  AND  DILUTED  INCOME  (LOSS)  PER  SHARE  (Continued)

                                               For  the  Three  Months  Ended
                                                      March  31,  2000
--------------------------------------------------------------------------------
                                        Income        Shares         Per-Share
                                     (Numerator)   (Denominator)       Amount
                                  ----------------------------------------------
Basic  Income  (Loss)  Per  Share

Income  available  to
common  stockholders              $     109,968       $   6,314,160  $     0.02
                                                                   =============
Effect  of  Dilutive  Securities

Common  stock  options                        0            420,000
                                 ----------------------------------
Fully  Diluted  Income  (Loss)  Per  Share

Income  available  to
common  stockholders
plus  assumed  conversions       $      109,968      $   6,810,560   $     0.02
                                ================================================

Options to purchase 420,000 shares of common stock were outstanding at March 31,
2001.  These  options  expire  on  June  30,  2004 and have been included in the
computation  of fully diluted income (loss) per share for the period ended March
31,  2000.  These  options  are  not included in the computation as of March 31,
2001  because  they  would  be  antidilutive.

NOTE  7  -     RELATED  PARTY  TRANSACTIONS

In a related party transaction, Kevin Harrington, Tim Harrington, and Mel Arthur
(CEO, President, and Executive Vice-President of the Company, respectively) each
acquired  250 shares (a total of 750 shares) of Ideal Health, a private company.
The  acquired shares represents approximately 7% ownership in Ideal Health.  The
Company  has  done  business with Ideal Health in the previous year, but not for
the  three  months  ended  March  31,  2001.  The share acquisition by the above
officers  was  approved  by  the  Board  of  Directors  of  the  Company.

                                       12



ITEM  2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
OF  OPERATIONS

INTRODUCTION

    The  following discussion and analysis of financial condition and results of
operations  should  be  read  in  conjunction  with  the  Company's accompanying
unaudited  consolidated  financial  statements and notes included herein and the
audited  consolidated  financial  statements and notes included in the Company's
Annual  Report  on  Form 10-KSB for the fiscal year ended December 31, 2000. The
plan  of  operations for the next 12 months is substantially unchanged from that
plan  reported  in  our  Form  10-KSB  that  was  filed  on  April  16,  2001.


CAUTIONARY STATEMENT FOR PURPOSES OF THE "SAFE HARBOR" PROVISIONS OF THE PRIVATE
SECURITIES  LITIGATION  REFORM  ACT  OF  1995.

The  following  Management's  Discussion and Analysis of Financial Condition and
Results  of  Operations  and  other  materials  filed  by  the  Company with the
Securities  and  Exchange  Commission  (as  well as information included in oral
statements  or  other  written  statements  made  or  to be made by the Company)
contain  certain  "forward-looking statements" within the meaning of the Private
Securities  Litigation  Reform  Act  of  1995.  These  statements  are  based on
management's current expectations and are accordingly subject to uncertainty and
changes  in  circumstances.  Actual  results  may  vary  materially  from  the
expectations  contained  herein due to various important factors, including (but
not  limited  to):  consumer  spending and debt levels; interest rates; seasonal
variations  in  consumer  purchasing activities; competitive pressures on sales;
pricing  and gross profit margins; the level of cable and satellite distribution
for  the Company's programming and fees associated therewith; the success of the
Company's  e-commerce; the ability of the Company to continue to obtain adequate
financing  at  competitive  rates  for  the  purchase  of  media  time  for  our
programming  and  for  the  purchase  of inventory for the products that we have
manufactured  for  sale;  the  success  of the Company's strategic alliances and
relationships;  the  ability  of  the  Company  to manage its operating expenses
successfully;  changes in governmental or regulatory requirements; litigation or
governmental  proceedings affecting the Company's operations; and the ability of
the  Company  to  obtain  and retain key executives and employees. Investors are
cautioned  that  all forward-looking statements involve risk and uncertainty and
the  Company is under no obligation (and expressly disclaims any such obligation
to)  update  or  alter its forward-looking statements whether as a result of new
information,  future  events  or  otherwise.



                 SELECTED CONDENSED CONSOLIDATED FINANCIAL DATA

                                              For  the  Three  Months  Ended
                                                         March  31,
                                                2000                    1999
                       --------------------------------------------------------
NET SALES. . . . . . . . . . . . . . . . . .   100.0%                    100.0%

COST OF SALES . . . . . . . . . . . . . . . . . 82.2%                     81.2%

GROSS PROFIT . . . . . . . . . . . . . . . . . .17.8%                     18.8%

OPERATING  EXPENSES

   Depreciation and Amortization . . . . . . . .0.03%                     0.02%
   General and Administrative . . . . . . . . .  7.2%                      3.7%
   Selling  and  Marketing . . .. . . . . . . .  8.1%                     13.4%
   Royalties . . . . . . . . . . . . . . . . . . 0.7%                      1.1%
   Stock Bonus Compensation . . . . . . . . . .  8.3%                        -

       Total Operating Expenses . . . . . . .   24.3%                     18.2%

OPERATING INCOME (LOSS) . . . . . . . .. . . .  (6.4)%                     0.6%

ADJUSTED OPERATING INCOME (LOSS)   . . . . . . . 1.8%                      .62%
  not  including  non-cash  expenses  of
  depreciation,  amortization  and  stock
  bonus  compensation

                                       13


                              RESULTS OF OPERATION

NET  SALES

     Net  sales  for  the  three  months  ended March 31, 2001 were $28,821,828,
compared with net sales of $2,131,204 for the three months ended March 31, 2000.
This  represented  an  increase  in  net  sales  of  43.2%  over  the comparable
three-month  period  last  year.  This  increase  in  net  sales  is  directly
attributable to the continued improvement in, and increased sales from our sales
of  computers.  The  net sales of computers for the quarter ended March 31, 2001
increased  by  approximately $8.8 million over the comparable in the prior year.

COST  OF  SALES

     Cost of sales for the first quarter ended March 31, 2001 and the comparable
period  in  1999  were $23,683,919 and $16,345,755, respectively, an increase of
$7,338,164  or  44.9%.  This increase of 44.9% was comparable to the increase of
net  sales  of 43.2%.  The major reason for the slight increase in cost of sales
is  due  to  the smaller margin that we receive on computer sales as compared to
the  other  products  we sell.  When compared to net sales for the third quarter
ended  March  31,  2000  and the comparable period in 1999 the cost of sales was
82.29%  and  81.29%  respectively  of  the  net  sales  amount.

GROSS  PROFITS

     Our  gross  profits  in the first quarter of this year when compared to the
same quarter last year were $5,137,909 as compared to $3,785,449.  This increase
of  $1,352,460  represented  a  35.7%  increase over the comparable quarter last
year.  When compared to net sales our gross profit for the first quarter of 2001
was  17.89%  as  compared to 18.8% in the same quarter of last year.  Once again
this  slight  decrease in the percentage of profitability would be attributed to
the  lower  margins  on  computer  sales.

OPERATING  EXPENSES

     Our total operating expenses for the three months ended March 31, 2001 were
$6,994,556  versus  $3,663,584.  Our  operating expenses in the first quarter of
this  year  were  24.3% of our net sales.  In the first quarter of last year our
operating  expenses  were  18.2%.  Our  general  and  administrative  expenses
increased by $1,327,088 from the first quarter of last year to the first quarter
of  this year.  General and administrative expenses as a percentage of net sales
from  the  first  quarter  of  2000  were  3.7% and went up to 7.2% in the first
quarter  of  2001. Several components made up this increase, including increases
in  payroll,  rent, database improvements, insurance and tradeshow expenses. The
primary  item  that increased in the general and administrative expense category
was  payroll,  which  increased  by  approximately  $585,000.    Our selling and
marketing expenses decreased from $2,701,911 to $2,334,737 or 13.4% of net sales
down  to  8.1% respectively, from the first quarter of 2000 to the first quarter
of  2001.  Sales  and marketing expenses decreased in spite of the fact that our
shipping  costs  rose  substantially because of the higher costs of shipping our
products,  primarily the costs of shipping computer systems. However, because of
the  lower  costs  in  connection  with  computer  sales  for  telemarketing and
fulfillment,  our telemarketing costs were reduced by approximately $300,000 and
fulfillment  costs were reduced by approximately $600,000. We are currently in a

                                       14


position  to  increase  our  level  of  sales  disproportionately  to  our basic
operating  cost,  as we believe our general and administrative expenses will not
rise  proportionately  with  increases  in  sales.

     The  primary  change from the first quarter of 2000 to the first quarter of
2001  is  attributable  to  the  expensing  of  certain  stock bonuses earned by
management  under  the  terms of their employment agreements.  Pursuant to these
employment  agreements  the value of a total of 3,900,000 shares of common stock
of the company were expensed for bonuses to management.  Of the 3,900,000 shares
that  were  expensed only 3,500,000 of those shares have actually been issued to
date.  The amount of this expense item was determined on the basis of the market
price  of the stock on the date that the shares were earned.  Please see notes 3
and  4  to  the  enclosed  Consolidated  Financial  Statements  for  additional
information.

OPERATING  INCOME  (LOSS)

     Our  operating  loss for the first quarter of this year was ($1,856,647) as
compared  to  an operating income in the first quarter of last year of $121,865.
The  expense  item  for stock bonus compensation was in the amount of $2,380,200
and  represents a non-cash expense.  If the operating income were to be adjusted
by  this charge then the company would have had an operating income of $523,553,
which  would  have  represented an increase in this quarter of $401,688 from the
same  quarter  of  last  year.

NET  INCOME  (LOSS)

     Our  net loss for the first quarter of 2001 was $1,280,717 as compared to a
net  income  of  $109,968 for the first quarter of 2000.  Once again, if the net
income  were  adjusted  by  the  non-cash  item  represented  as  stock  bonus
compensation,  our  income  before  income  taxes  would  have  been $504,605 as
compared  to  $109,968  in  the  first quarter of last year.  Our basic loss per
share  for  the  first quarter of 2001 was ($0.12) as compared to a basic income
per  share  of  $.02  for  the  first quarter of 2000.  Our financial statements
reflect that as a result of the recorded loss of the first quarter of $1,875,595
and the expectation of profitability for the fiscal year 2001, we have an income
tax  benefit  of  $594,878.

FINANCIAL  CONDITION,  LIQUIDITY  AND  CAPITAL  RESOURCES

     As  of March 31, 2001 we had cash and cash equivalents of $468,123 compared
to  $298,734  at  December  31,  2000,  an  increase  of $169,389.  Total assets
increased  from $5,056,573 at December 31, 2000 to $6,366,172 at March 31, 2001,
an  increase  of  $1,269,599.  In  addition  to our increase in cash during this
quarter,  our accounts receivable increased by $209,944, our inventory increased
by  $262,731  and  we  have  the  deferred  tax  asset  of $594,878, which items
represent  the  material  components  of  our  increase  in assets this quarter.

     For  the three-month period ended March 31, 2001 the net cash provided from
operating  activities  was $394,913 as compared to $357,883 in the first quarter
of last year.  Our net cash used in investing activities was $39,714 as compared
to  $37,239  respectively  in this quarter and the comparable quarter last year.
The  net  cash  that  was  used by financing activities decreased from the first
quarter  of  last  year  in  which we used $270,648 as compared to $185,810 this
quarter.


Item  6.  There  were  no  reports  filed  on  Form  8-K.

                                       15


                                   SIGNATURES


     Pursuant  to  the requirements of the Securities Exchange Act of 1934, this
Form  10-QSB  Report for the Quarter ended March 31, 2001, has been signed below
by  the following persons on behalf of the Registrant and in the capacity and on
the  date  indicated.


Dated:  May  21,  2001

                         Reliant Interactive Media Corp.

                                       by

 /s/Kevin  Harrington           /s/Rocky  Davis
    Kevin  Harrington              Rocky  Davis
    CEO                            Comptroller
                                   Principal Financial Officer

                                       16