UNITED  STATES
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  June  30,  2000
                                    ---------------

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

For  the  transition  period  from            to
                                   ----------    ---------

Commission  file  number  333-82493
                          ---------

California  Molecular  Electronics  Corp.
-----------------------------------------
(Exact  name  of  small  business  is  here  as  specified  in  its  charter)

Arizona
-------
(State  or  other  jurisdiction  of  incorporation  or  organization)

86-0888087
----------
(IRS  Employer  Identification  No.)

50  Airport  Parkway,  San  Jose,  CA  95110
--------------------------------------------
(Address  of  principal  executive  offices)

(408) 451-8404
--------------
(Issuer's  telephone  number)

Check  whether  the  registrant  (1)  filed  all reports required to be filed by
Section  13 or 15(d) of the Securities Exchange Act of 1934 during the preceding
12  months  (or for such shorter period that the registrant was required to file
such  report(s),  and  (2)  has been subject to such filing requirements for the
past  90  days.

Yes[X]     No[ ]

The  number of shares outstanding of the issuer's common stock on August 1, 2000
was  5,078,335.


<PAGE>
CALIFORNIA  MOLECULAR  ELECTRONICS  CORP.

INDEX

PART I.  FINANCIAL  INFORMATION

                                                                            Page
                                                                            ----
     ITEM 1.  FINANCIAL STATEMENTS

     Balance Sheets as of December 31, 1999 and June 30, 2000                  2

     Statements of Operations for the three and six months ended June 30,
     2000 and 1999 and cumulative from March 17, 1997 (date of
     incorporation) to June 30, 2000.                                          3

     Statement of Stockholders' Equity (Deficit) from December 31, 1998 to
     June 30, 2000.                                                            4

     Statements of Cash Flows for the six months ended June 30, 2000 and
     1999 and cumulative from March 17, 1997 (date of incorporation) to
     June 30, 2000.                                                            5

     Notes to Financial Statements.                                            6

     ITEM 2.  MANAGEMENT'S DISCUSSION AND ANALYSIS OF
     FINANCIAL CONDITION AND RESULTS OF OPERATIONS.                            8

PART II.  OTHER INFORMATION                                                   11

     SIGNATURES                                                               12

     ITEM 6.  EXHIBITS AND REPORTS ON FORM 8-K                                13


<PAGE>
                                       -2-

PART  I.  FINANCIAL  INFORMATION

ITEM  1.  FINANCIAL  STATEMENTS

<TABLE>
<CAPTION>
                       CALIFORNIA  MOLECULAR  ELECTRONICS  CORP.
                       -----------------------------------------
                              (a development stage company)
                              -----------------------------

                                     BALANCE  SHEET
                                     --------------

                                                               June 30      December 31
                                                                 2000           1999
                                                             ------------  -------------
                                                              (unaudited)
<S>                                                          <C>           <C>
                                      A S S E T S
                                      -----------
Current assets:
  Cash and cash equivalents                                  $   324,192   $     91,993
  Grant receivable                                                33,334              -
  Prepaid expenses                                                 7,447          6,493
  Shareholder advances                                            10,000              -
                                                             ------------  -------------
    Total current assets                                         374,973         98,486

Furniture and fixtures, net                                        6,294          2,099
Other                                                                427            427
                                                             ------------  -------------
                                                             $   381,694   $    101,012
                                                             ============  =============

                 LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT)
                 ----------------------------------------------

Current liabilities:
  Deferred grant income                                      $    33,334
  Accounts payable and accrued liabilities                        17,312   $     13,800
  Other payable                                                    5,000          5,000
                                                             ------------  -------------
    Total current liabilities                                     55,646         18,800
                                                             ------------  -------------

Stockholders' equity (deficit):
  Common stock, no par value:
    Authorized 20 million shares; 5,080,735 and 4,994,065
    issued and outstanding (including 4,800 and 4,800
    Treasury shares) at June 30, 2000 and December 31,
    1999, respectively                                         1,844,326      1,280,242
  Less: Treasury stock at cost; 4,800 shares at June 30, 2000
    and December 31, 1999                                        (28,800)       (28,800)
  Deficit accumulated during development stage                (1,489,478)    (1,169,230)
                                                             ------------  -------------
                                                                 326,048         82,212
                                                             ------------  -------------

                                                             ------------  -------------
                                                             $   381,694   $    101,012
                                                             ============  =============
</TABLE>


                    See accompanying notes to financial statements.


<PAGE>
                                                      -3-

<TABLE>
<CAPTION>
                                     CALIFORNIA  MOLECULAR  ELECTRONICS  CORP.
                                     -----------------------------------------
                                           (a development stage company)
                                           -----------------------------

                                             STATEMENT OF OPERATIONS
                                             -----------------------

                                                 (UNAUDITED)
                                                 -----------

                                    Cumulative
                                   amounts from
                                  March 17, 1997
                                     (date of        Six months ended        Three months ended
                                   incorporation)        June 30                   June 30
                                        to       ------------------------  ------------------------
                                   June 30,2000     2000         1999         2000         1999
                                   ------------  -----------  -----------  -----------  -----------
<S>                                 <C>           <C>          <C>          <C>          <C>
Revenue:
    Grant income                    $    66,666   $   66,666                $   33,333
    Interest income                      17,396        5,256   $    4,824        3,360   $    2,951
                                    ------------  -----------  -----------  -----------  -----------
                                         84,062       71,922        4,824       36,693        2,951
                                    ------------  -----------  -----------  -----------  -----------
Expenses:
    Research and development
    expenses                            420,813      155,145      137,337       95,474      110,593

    Officers' compensation donated
       to the Company (Note 5)          767,033       78,700      135,000       31,200       67,500

    Preoperating expenses               385,494      158,275      104,172      111,351       48,653
                                    ------------  -----------  -----------  -----------  -----------

        Total expenses                1,573,340      392,120      376,509      238,025      226,746
                                    ------------  -----------  -----------  -----------  -----------

Loss before income taxes             (1,489,278)    (320,198)    (371,685)    (201,332)    (223,795)

Provision for state income taxes            200           50           50            -            -
                                    ------------  -----------  -----------  -----------  -----------

Net loss                            $(1,489,478)  $ (320,248)  $ (371,735)  $ (201,332)  $ (223,795)
                                    ============  ===========  ===========  ===========  ===========


Basic and diluted loss per common
    share                           $      (.30)  $     (.06)  $     (.08)  $     (.04)  $     (.05)
                                    ============  ===========  ===========  ===========  ===========

Weighted average number of
    common shares outstanding          4,894,425    5,004,602    4,933,980    5,064,789    4,957,595
                                    ============  ===========  ===========  ===========  ===========
</TABLE>


                     See accompanying notes to financial statements.


<PAGE>
                                                          -4-

<TABLE>
<CAPTION>
                                           CALIFORNIA MOLECULAR ELECTRONICS CORP.
                                           --------------------------------------
                                               (a development stage company)
                                               -----------------------------

                                        STATEMENT OF STOCKHOLDERS' EQUITY (DEFICIT)
                                        -------------------------------------------

                                   FOR THE PERIOD FROM DECEMBER 31, 1998 TO JUNE 30, 2000
                                   ------------------------------------------------------

                                                                                                    Deficit
                                                                                                  Accumulated
                                                               Common Stock                          During
                                                        --------------------------    Treasury     Development
                                                           Shares        Amount         Stock         Stage        Total
                                                        -------------  -----------  -------------  ------------  ----------
<S>                                                     <C>            <C>          <C>            <C>           <C>
Balance at December 31, 1998                               4,887,520   $  636,556   $          -   $  (494,561)  $ 141,995

Stock issued in private placement                             91,540      347,900              -             -     347,900

Stock issuance costs                                               -      (49,239)             -             -     (49,239)


Officers' compensation donated to the                              -      270,000              -             -     270,000
    Company (Note 5)

Stock issued for license technology fee                       15,005       75,025              -             -      75,025

Treasury stock, at cost                                       (4,800)           -        (28,800)            -     (28,800)

Net loss                                                           -            -              -      (674,669)   (674,669)
                                                        -------------  -----------  -------------  ------------  ----------

Balance at December 31, 1999                               4,989,265    1,280,242        (28,800)   (1,169,230)     82,212

Stock issued in public offering                               86,670      520,020              -             -     520,020

Stock issuance costs                                               -      (34,636)             -             -     (34,636)


Officers' compensation donated to the                              -       78,700              -             -      78,700
    Company (Note 5)

Net loss                                                           -            -              -      (320,248)   (320,248)
                                                        -------------  -----------  -------------  ------------  ----------

Balance at June 30, 2000 (unaudited)                       5,075,935   $1,844,326   $    (28,800)  $(1,489,478)  $ 326,048
                                                        =============  ===========  =============  ============  ==========
</TABLE>


                                 See accompanying notes to financial statements.


<PAGE>
                                                          -5-

<TABLE>
<CAPTION>
                      CALIFORNIA MOLECULAR ELECTRONICS CORP.
                      --------------------------------------
                          (a development stage company)
                          -----------------------------

                             STATEMENT OF CASH FLOWS
                             -----------------------

                                   (UNAUDITED)
                                   -----------

                                          Cumulative amounts
                                            from March 17,
                                            1997 (date of        Six months
                                            incorporation)      ended June 30
                                                  to       ----------------------
                                             June 30,2000     2000        1999
                                             ------------  ----------  ----------
<S>                                          <C>           <C>         <C>
Operations:
    Net loss                                 $(1,489,478)  $(320,248)  $(371,735)
    Items not requiring current use of cash:
        Officers' compensation, donated to the
             Company (Note 5)                    767,033      78,700     135,000
        License fees                              75,025           -      75,025
        Depreciation                                 788         263           -
        Legal fees in exchange for stock          28,858      18,258      10,600
        Changes in other operating items:
           Payable to related party                    -           -     (14,500)
           Shareholder advances                  (35,147)    (10,000)    (10,000)
           Accounts payable and accrued
               liabilities                        17,312       3,512      21,738
           Other payable                           5,000           -       5,000
           Prepaid expenses                       (7,447)       (954)          -
           Other                                    (427)          -      (7,208)
                                             ------------  ----------  ----------
           Cash used for operating              (638,483)   (230,469)   (156,080)
           activities                        ------------  ----------  ----------

Investments:
    Furniture and fixtures                        (7,082)     (4,458)          -
                                             ------------  ----------  ----------
        Cash used for investing activities        (7,082)     (4,458)          -
                                             ------------  ----------  ----------

Financing:
    Issuance of common stock, after stock
        issuance expense                         973,410     467,126     322,098
    Purchase of Treasury stock                    (3,653)          -
    Repayment to related party                         -           -      (1,366)
                                             ------------  ----------  ----------
           Cash provided by financing
              activities                         969,757     467,126     320,732
                                             ------------  ----------  ----------

Increase in cash and cash equivalents            324,192     232,199     164,652

Cash and cash equivalents at beginning of
    period                                             -      91,993     154,626
                                             ------------  ----------  ----------

Cash and cash equivalents at end of period   $   324,192   $ 324,192   $ 319,278
                                             ============  ==========  ==========

Supplemental cash flow disclosures:
    Taxes paid                               $       150   $       -   $       -
                                             ============  ==========  ==========
    Interest paid                            $         -   $       -   $       -
                                             ============  ==========  ==========

    Acquisition of Treasury stock            $   (25,147)  $       -   $       -
    Cancellation of shareholder advances          25,147           -           -
                                             ------------  ----------  ----------
                                             $         -   $       -   $       -
                                             ============  ==========  ==========
</TABLE>


                  See accompanying notes to financial statements.


<PAGE>
                                       -6-

                     CALIFORNIA MOLECULAR ELECTRONICS CORP.
                     --------------------------------------
                          (a development stage company)
                          -----------------------------

                          NOTES TO FINANCIAL STATEMENTS
                          -----------------------------


NOTE  1  -  Basis  of  presentation:

     The  financial  statements  included  herein  for  California  Molecular
Electronics Corp. ("CALMEC" or the "Company") have been prepared by the Company,
without  audit  pursuant  to  the  rules  and  regulations of the Securities and
Exchange  Commission.  In  management's  opinion,  the  interim  financial  data
presented  includes  all  adjustments  (which  include  only  normal  recurring
adjustments)  necessary  for  a  fair  presentation.  Certain  information  and
footnote  disclosures  normally  included  in  financial  statements prepared in
accordance  with generally accepted accounting principles have been condensed or
omitted  pursuant  to  such  rules  and  regulations.

     The  results  of  operations for the six months ended June 30, 2000 are not
necessarily  indicative  of the operating results expected for the entire fiscal
year.  The  financial  statements  included herein should be read in conjunction
with other documents the Company files from time to time with the Securities and
Exchange  Commission,  including  the  Company's Form 10-KSB for the fiscal year
ended  December  31,  1999.

NOTE  2  -  Reclassifications:

     Certain  prior period amounts have been reclassified in order to conform to
the  current  period  presentation.

NOTE  3  -  Cash  and  cash  equivalents:

     CALMEC  considers  all  highly  liquid investments with a maturity of three
months  or  less  at  the  date  of  acquisition  to  be  cash  equivalents.

NOTE  4  -  Loss  per  share:

     Basic  and dilutive loss per common share is calculated by dividing the net
loss for the period by the average number of common shares outstanding.  For the
six  months  ended  June 30, 2000 and 1999, dilutive loss per share excludes the
effect  of  options,  because  the  effect  would  have  been  antidilutive.

NOTE  5  -  Leases:

     The  Company  has  entered  into a cost reimbursable contract with San Jose
State  University  Foundation  ("Foundation")  for the period from April 1, 2000
through March 31,  2001.  The contract includes advisory services to be provided
by  the  San Jose State University Department of Chemistry, facilities, supplies
and  equipment  use.


<PAGE>
                                       -7-

NOTE  6  -  Related  party  transactions:

     CALMEC's  three officers have devoted 100% of their time to the business of
the Company since their hire in 1997.  Planned annual remuneration for the three
officers  is as follows:  $40,000 - Chairman and Treasurer; $110,000 - President
and  Chief  Executive  Officer;  and  $120,000  -  Executive  Vice President and
Secretary.  The  officers have elected to forego their salaries through December
31,  1999,  and  certain  officers  have continued to forego all or a portion of
their  salaries  through  June  30,  2000.  As  required  by  the Securities and
Exchange  Commission  accounting rules, in the accompanying financial statements
the  officers'  unpaid  salaries  totaling  $31,200 and $67,500 for the quarters
ended  June  30,  2000  and  1999,  respectively,  are reflected as compensation
expense  and  a  credit to common stock, as the Company does not intend to repay
such  forfeited  salaries in the future.  Effective February 2000, the Executive
Vice  President  and  Secretary  began  to  receive  a  salary for his services.
Effective May 2000, the President and Chief Executive Officer began to receive a
portion  of  his salary in cash ($1,050 per week) and 250 stock options per week
with  an  exercise  price  of  $6.00  per  share.

NOTE  7  -  Grants:

     During  the  first  quarter  of 2000, the Company received a grant from The
National Science Foundation in the amount of $100,000, to be paid in three equal
installments.  The grant will support research to demonstrate the feasibility of
the  unique Chiropticene molecular switch.  The first installment of $33,333 was
received  in January 2000, and was recognized as grant income during the quarter
ended  March  31, 2000.  The second installment of $33,333 was received in April
2000, and was recognized as grant income during the quarter ended June 30, 2000.
The  grant  has  been  recognized in earnings in the period in which the related
expenditures  were  incurred  by  the  Company.  The grant receivable of $33,334
included  in  other  current  assets  and  the  deferred grant income of $33,334
included  in current liabilities at June 30, 2000 represent the last installment
of  the  grant.

NOTE  8-  Recent  accounting  pronouncements:

     In  June  1999,  the  FASB  issued SFAS No. 137, "Accounting for Derivative
Instruments,"  SFAS  137 extends the effective date of SFAS No. 133, "Accounting
for  Derivative  Instruments  and  Hedging  Activities,"  SFAS  133  establishes
accounting and reporting standards for derivative instruments, including certain
derivative  instruments embedded in other contracts, and for hedging activities.
The statement requires that an entity recognize all derivatives as either assets
or  liabilities  in  the  statement  of  financial  position  and  measure those
instruments  at  fair  value.  As amended by SFAS 137, SFAS 133 is effective for
the Company's fiscal year ending June 30, 2001.  The Company does not anticipate
that  SFAS  No.  137  will  have  a material impact on its financial statements.


<PAGE>
                                       -8-

CALIFORNIA  MOLECULAR  ELECTRONICS  CORP.

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

FORWARD-LOOKING  STATEMENTS

From  time  to time, statements made by California Molecular Electronics Corp.'s
("CALMEC"  or  the  "Company")  employees  or  information  included in CALMEC's
filings with the Securities and Exchange Commission (including this Form 10-QSB)
may contain statements that are not historical facts, so called "forward-looking
statements,"  which  are  subject  to  risks  and uncertainties that could cause
actual  results  to  differ  materially.  Forward-looking  statements  are  made
pursuant  to  the  safe  harbor  provisions of the Private Securities Litigation
Reform  Act  of  1995.  When  used in this Form 10-QSB, the terms "anticipates,"
"expects,"  "estimates,"  "believes,"  and other similar terms as they relate to
CALMEC  or  its  management  are  intended  to  identify  such  forward-looking
statements.  For  example,  statements  made  herein  relating  to  acquiring
intellectual  property,  marketing intellectual property to potential customers,
maintaining commercial acceptance of our products, and anticipated growth of our
target  markets  are  forward-looking statements.  Because these forward-looking
statements  involve  risk  and  uncertainties,  actual  results  could  differ
materially  from  those expressed or implied by these forward-looking statements
for a number of reasons, including those discussed in the section entitled "Risk
Factors" of CALMEC's Form SB-2 filed with the Securities and Exchange Commission
on January 31, 2000.  Readers are cautioned not to place undue reliance on these
forward-looking  statements,  which  speak  only  as of the date hereof.  CALMEC
undertakes  no  obligation  to  update  or  revise  these  statements.

OVERVIEW  AND  PLAN  OF  OPERATION

CALMEC  was  formed to engage primarily in the business of producing and selling
products  and  services  related  to  the  new  technological field of molecular
electronics.  Molecular  electronics is the technology of using single molecules
to  form  components  of  electronic  devices.

The  Company continues to be in the start-up phase of its existence, and through
December 31, 1999, CALMEC's three officers had elected to forego their salaries.
Commencing  February  2000,  the  Executive  Vice  President and Secretary began
receiving  remuneration  for  his services and the President and Chief Executive
Officer  began  to  receive  a  portion  of his salary commencing May 2000.  The
Company  will  transition  from the start-up phase to the operational phase when
the Board of Directors has determined sufficient capital has been accumulated to
do  so.  At  that  time,  all  employees  and  executive  officers  will receive
salaries,  additional space will be leased, capital equipment will be purchased,
and  other  operating expenses will be incurred.  Prior to that time, activities
will  be restricted to low cost activities that will keep the Company within its
cash  resources.


<PAGE>
                                       -9-

In  the  second  quarter  of  1999,  the  Company started paying salaries to two
chemists  to perform research.  Also in the second quarter of 1999, CALMEC began
leasing  lab  space  from  San  Jose State University for the purpose of housing
these  chemists  and developing Chiropticene demonstration chemistry.  The lease
ran through March 31, 2000, and the Company has renegotiated with San Jose State
University  to  extend  the  lease  until  March  31,  2001.

On  January  31,  2000, CALMEC filed Form SB-2, Registration Statement under the
Securities  Act  of  1933,  with the SEC.  On February 7, 2000, the Registration
Statement  became  effective  and  CALMEC  commenced its sale of up to 1,000,000
shares  of  common  stock  at $6.00 per share.  CALMEC plans to raise $6 million
with  this  offering,  before payment of estimated offering expenses of $50,000,
although  no  assurance can be made as to how many shares the Company will sell.
Subsequent to the effective date of the Registration Statement through August 1,
2000,  CALMEC  has  sold  89,070  shares  of  its  common  stock, for a total of
$534,420.

CALMEC's  business  currently  consists of two major areas of activity, Research
and  Development  ("R&D")  and  Sales  and  Corporate  Development.

R&D  consists  of  Research,  Intellectual  Property  Development  and  Product
Technology  Development.  The  foregoing  segments  work  together.  Research
develops  the  Company's  knowledge,  Intellectual Property Development fashions
that  knowledge  into  patent-protectable or trade-secret-protectable units that
can  be  licensed  and  otherwise exploited for business, and Product Technology
Development  puts in place those technical processes and technology arrangements
necessary  for  the  Company  to  produce  or  support the production of salable
products.  All  three  research  segments are currently functioning at a low but
valuable  level.

Sales  and Corporate Development's purpose is to exploit CALMEC's R&D results in
order  to  generate  revenue.  This  area of activity is responsible for selling
products  and  for developing business arrangements so as to foster these sales.
The  Company's  "early"  products  will  be  licenses  to  third  parties of the
Company's intellectual property and contract research in the development-support
of  third  party  products  based  on  these  licenses.

CASH  REQUIREMENTS

The  full extent of CALMEC's future capital requirements and the adequacy of its
available  funds will depend on many factors, not all of which can be accurately
predicted.  Although  no  assurance  can  be  given, the Company believes it can
continue  to  operate in its present status for at least the next twelve months,
and  proceeds  from  the  aforementioned offering will be used to accelerate the
Company's  progress  and amplify its influence in molecular electronics.  In the
event that additional capital is required, CALMEC may seek to raise that capital
through  public  or  private  equity or debt financings.  Future capital funding
transactions  may  result  in  dilution  to  shareholders.


<PAGE>
                                       -10-

There can be no assurance that additional capital will be available on favorable
terms, if at all.  CALMEC's inability to obtain additional capital on acceptable
terms  could  limit  its  ability  to  meet  its  plan  of  operation.

PURCHASE  OF  CAPITAL  EQUIPMENT

Over the next year, the Company expects to expend up to approximately 20% of its
expenditures  on  the  purchase  of  capital  equipment  and  capital facilities
improvement  primarily  for  use in R&D.  The actual percentage will depend upon
the  availability  of  cash.  If  cash  is  limited,  it is possible very little
expenditures will be made on capital equipment.  In that case, CALMEC will focus
on  intellectual  property development of the type that does not depend upon the
use  of  research  equipment.

HIRING  OF  EMPLOYEES

CALMEC will transition from its start-up phase to its operational phase when its
accumulated  cash balances permit it to do so according to the business judgment
of  management.  At  that  time,  employees currently working without pay or for
partial  pay  will  begin  receiving full compensation.  Regardless of when that
time occurs, as mentioned above, the Company has already hired and is supporting
the  lab  work of two chemists, and is paying one of the executive officers full
compensation,  and  another  executive  officer  a  portion of his compensation.


<PAGE>
                                      -11-

CALIFORNIA  MOLECULAR  ELECTRONICS  CORP.

PART  II.  OTHER  INFORMATION

Item  6.  Exhibits  and  Reports  on  Form  8-K

(a)  Exhibits

Exhibit  Number
---------------
27.1  Financial  Data  Schedule

(b)  Reports  on  Form  8-K.

None.


<PAGE>
                                       -12-

CALIFORNIA  MOLECULAR  ELECTRONICS  CORP.

Pursuant  to  the  requirements  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.

Date:  August  8,  2000
-----------------------

California  Molecular  Electronics  Corp.
-----------------------------------------
(Registrant)


-----------------------------------------
James  Marek,  Jr.
President  and  Chief  Executive  Officer


<PAGE>