================================================================================


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

                                    FORM 10-Q


[  X  ]      QUARTERLY  REPORT  PURSUANT  TO  SECTION  13  OR  15(d)
                     OF THE SECURITIES EXCHANGE ACT OF 1934

                  FOR THE QUARTERLY PERIOD ENDED MARCH 31, 2002

                                       OR

[     ]      TRANSITION  REPORT  PURSUANT  TO  SECTION  13  OR  15(d)
                     OF THE SECURITIES EXCHANGE ACT OF 1934

                FOR THE TRANSITION PERIOD FROM _______ TO _______

                         COMMISSION FILE NO.: 000-25677

                           CYBERNET INTERNET SERVICES
                              INTERNATIONAL, INC.
             (Exact name of Registrant as specified in its charter)

               DELAWARE                               51-0384117
      (State or other jurisdiction                (I.R.S. Employer
     of incorporation or organization)          Identification  No.)

    SUITE 1620 - 400 BURRARD STREET, VANCOUVER, BRITISH COLUMBIA, CANADA V6C 3A6
                              (Address of office)

                                 (604) 683-5767
              (Registrant's telephone number, including area code)

Indicate by check mark whether the Registrant (1) has 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 reports), and (2) has been subject to such filing
requirements for the past 90 days.  YES   X     NO
                                        -----      ------

Indicate the number of shares outstanding of each of the Registrant's classes of
common stock, as of the latest practicable date:

                Class                 Outstanding at May 15, 2002
                -----                -------------------------------

          Common Stock, $0.001                26,445,627
              par  value


================================================================================


<PAGE>


FORWARD-LOOKING  STATEMENTS

Statements in this report, to the extent they are not based on historical
events, constitute forward-looking statements.  Forward-looking statements
include, without limitation, statements regarding the outlook for future
operations, forecasts of future costs and expenditures, the evaluation of market
conditions, the outcome of legal proceedings, the adequacy of reserves, or other
business plans.  Investors are cautioned that forward-looking statements are
subject to an inherent risk that actual results may vary materially from those
described herein.  Factors that may result in such variance, in addition to
those accompanying the forward-looking statements, include changes in interest
rates, commodity prices, and other economic conditions; actions by competitors;
changing weather conditions and other natural phenomena; actions by government
authorities; uncertainties associated with legal proceedings; technological
development; future decisions by management in response to changing conditions;
and  misjudgments in the course of preparing forward-looking statements.


                         PART I.  FINANCIAL INFORMATION
                                  ---------------------

ITEM  1.     FINANCIAL  STATEMENTS



                 CYBERNET INTERNET SERVICES INTERNATIONAL, INC.

                        CONSOLIDATED FINANCIAL STATEMENTS

                    FOR THE THREE MONTHS ENDED MARCH 31, 2002

                                  (UNAUDITED)


                                        2


<PAGE>


                 CYBERNET INTERNET SERVICES INTERNATIONAL, INC.

                          CONSOLIDATED BALANCE SHEETS
                                  (UNAUDITED)

<TABLE>
<CAPTION>

                                                DECEMBER 31, 2001     MARCH  31, 2002
                                                ------------------    ---------------
                                                         (Euros in thousands)
<S>                                             <C>                   <C>

ASSETS
Current Assets
  Cash and cash equivalents                     E         2,735       E      2,740
  Restricted Cash                                         2,743              2,183
  Short-term investments                                    149                 77
  Trade accounts receivable, net                          8,903              6,636
  Related party receivable                                  356                356
  Other receivables                                       2,721              2,067
  Restricted investments                                 10,567              5,328
  Prepaid expenses                                          574                765
  Other current assets                                      947              1,077
                                                ---------------       ------------
     Total current assets                                29,695             21,229

Property and equipment, net                              32,653             29,760
Product development costs, net                              806                624
Investments in equity-method investees                    2,770              2,635
Other assets                                              6,048              5,792
                                                ---------------       ------------

TOTAL ASSETS                                    E        71,972       E     60,040
                                                ===============       ============

LIABILITIES AND SHAREHOLDERS' EQUITY
LIABILITIES
Current Liabilities
  Overdrafts and short-term borrowings          E           170       E        866
  Trade accounts payable                                 13,155             12,850
  Other accrued liabilities                              11,835              9,764
  Current portion long-term debt and
    capital lease obligations                             1,060                  -
  Accrued personnel costs                                 1,848              2,851
                                                ---------------       ------------
     Total current liabilities                           28,068             26,331

Long-term debt                                          164,573            169,958
Capital lease obligations                                   435                  -

SHAREHOLDERS' EQUITY
Common stock                                                 25                 25
Additional paid in capital                              127,718            127,718
Accumulated deficit                                    (249,473)          (264,045)
Cumulative other comprehensive income                       626                 53
                                                ---------------       ------------
     Total shareholders' equity                        (121,104)          (136,249)
                                                ---------------       ------------

TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY      E        71,972       E     60,040
                                                ===============       ============

</TABLE>


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


                                        3


<PAGE>


                 CYBERNET INTERNET SERVICES INTERNATIONAL, INC.

          CONSOLIDATED STATEMENTS OF OPERATIONS AND ACCUMULATED DEFICIT
                                  (UNAUDITED)

<TABLE>
<CAPTION>

                                                    THREE MONTHS ENDED MARCH 31,
                                                  --------------------------------
                                                      2001                 2002
                                                  ------------        ------------
                                                        (Euros in thousands,
                                                       except per share data)

<S>                                                <C>                <C>
Revenues                                           E     9,880        E     9,308
Costs and expenses:
  Direct cost of services                                5,493              4,533
  Network operations                                     2,127              1,019
  General and administrative expenses                    3,381              5,479
  Sales and marketing expenses                           2,685              1,927
  Research and development                                 228                  -
  Depreciation and amortization                          4,956              2,475
                                                   -----------        -----------
     Total costs and expenses                           18,870             15,433
                                                   -----------        -----------
                                                        (8,990)            (6,125)
Other income and expenses:
  Interest income                                          578                103
  Interest expense                                      (5,776)            (6,834)
  Equity in losses of equity-method investees              (37)              (135)
  Foreign currency losses                               (6,260)            (1,580)
                                                   -----------        -----------
Loss before taxes and extraordinary item               (20,485)           (14,571)
Income tax expense (benefit)                             1,590                 (1)
                                                   -----------        -----------
Loss before extraordinary item                         (18,895)           (14,572)
Extraordinary item:
  Gain on extinguishment of debt (net of tax)            4,016                  -
                                                   -----------        -----------
Net loss                                               (14,879)           (14,572)

Accumulated deficit, beginning of period              (114,833)          (249,473)
                                                   -----------        -----------
Accumulated deficit, end of period                 E  (129,712)       E  (264,045)
                                                   ===========        ===========

Earnings (loss) per share, basic and diluted:
  Loss before extraordinary item                   E     (0.73)       E     (0.55)
  Gain on extraordinary item                              0.15                  -
                                                   -----------        -----------
  Net loss                                        E      (0.58)       E     (0.55)
                                                  ============        ===========
Number of shares used to compute
  earnings (loss) per share (in thousands)              25,845             26,445
                                                  ============        ===========

</TABLE>


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


                                        4


<PAGE>


                 CYBERNET INTERNET SERVICES INTERNATIONAL, INC.

                      CONSOLIDATED STATEMENTS OF CASH FLOWS
                                   (UNAUDITED)


<TABLE>
<CAPTION>

                                                    THREE MONTHS ENDED MARCH 31,
                                                  --------------------------------
                                                      2001                 2002
                                                  ------------        ------------
                                                        (Euros in thousands,
                                                       except per share data)
<S>                                               <C>                 <C>

CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss                                          E   (14,879)        E   (14,572)

ADJUSTMENTS TO RECONCILE NET LOSS TO
 NET CASH USED BY OPERATIONS:
   Deferred taxes                                      (1,589)                  -
   Depreciation and amortization                        4,956               2,475
   Equity in (profits) losses of
    equity-method investees                                (5)                135
   Provision for losses on accounts
    receivable                                             305              1,492
   Loss on sale of short term investment                    67                  -
   Amortization of bond discount                           651                664
   Accreted interest expense on long-term debt           1,371              3,443
   Gain on extinguishment of debt                       (4,016)                 -
   Foreign currency translation loss                     3,895                639
   CHANGES IN OPERATING ASSETS AND LIABILITIES:
     Restricted cash                                       286                560
     Trade accounts receivable                            (345)               777
     Other receivables                                   1,389                577
     Other assets                                          176                (32)
     Prepaid expenses                                     (148)              (193)
     Other current assets                                  283               (130)
     Trade accounts payable                             (1,136)              (305)
     Other accrued expenses and liabilities             (4,519)            (1,216)
     Accrued personnel costs                              (251)             1,003
                                                  ------------        -----------
       Total changes in operating
        assets and liabilities                          (4,265)             1,041
                                                  ------------        -----------
          Net cash used in operating
           activities                                  (13,509)            (4,683)

CASH FLOWS FROM INVESTING ACTIVITIES:
Proceeds from sale of short-term investments            14,350                145
Proceeds from sale of restricted investments             4,192              5,304
Purchase of property and equipment                      (3,128)               (87)
Proceeds from sale of property and equipment                 -                837
Payment of deferred purchase obligations                (2,034)                 -
                                                  ------------        -----------
          Net cash provided by investing
           activities                                   13,380              6,199

CASH FLOWS FROM FINANCING ACTIVITIES:
Principal payments under capital
 lease obligations                                        (569)            (1,497)
Proceeds from borrowings                                   179                866
Repayment of borrowings                                 (2,570)            (1,036)
                                                  ------------        -----------
          Net cash used in financing
           activities                                   (2,960)            (1,667)
                                                  ------------         ----------

Impact of foreign exchange rate changes                    (39)               156
                                                  ------------         ----------
Net (decrease) increase in cash and
 cash equivalents                                       (3,128)                 5
Cash and cash equivalents at beginning
 of period                                               5,972              2,735
                                                  ------------         ----------
Cash and cash equivalents at end of period        E      2,844         E    2,740
                                                  ============         ==========

</TABLE>


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


                                        5



<PAGE>


                 CYBERNET INTERNET SERVICES INTERNATIONAL, INC.

              NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS
                      FOR THREE MONTHS ENDED MARCH 31, 2002

1.  Basis  of  Presentation
    -----------------------

The accompanying interim period unaudited consolidated financial statements have
been  prepared  in  accordance  with United States generally accepted accounting
principles  ("U.S.  GAAP")  and the rules and regulations of the U.S. Securities
and  Exchange Commission relating to interim financial information. Accordingly,
they  do  not  include  all  of  the  information  required  under U.S. GAAP for
financial  statements  for  a  full  year.  In  the  opinion  of management, all
adjustments (consisting of normal recurring adjustments and accruals) considered
necessary  for  a  fair  presentation  of  the financial position and results of
operations of Cybernet Internet Services International, Inc. (the "Company") for
the periods presented have been included. Operating results for the three months
ending  March  31, 2002 are not necessarily indicative of results to be expected
for  the  year  ended  December 31, 2002.  For further information, refer to the
audited  consolidated  financial  statements  and  notes thereto included in the
Company's  annual  report  on  Form  10-K  for the year ended December 31, 2001.

2.  Going  Concern
    --------------

The  Company  has incurred significant operating losses since inception, and has
not  achieved  and  does  not  expect  to achieve sufficient revenues to support
future  operations without additional financing. The Company is currently in the
process of identifying alternative financing sources, negotiating changes to its
debt  structure  and  evaluating  its  strategic  options. However, there are no
assurances  that  these  plans  can  be  accomplished nor that they will provide
sufficient  cash  to  fund  the  Company's  operations  in  the  future.

The  accompanying  consolidated financial statements have been prepared assuming
that  the  Company  will  continue  as  a going concern and, accordingly, do not
include  any  adjustments  to  reflect  the  possible  future  effects  on  the
recoverability and classification of assets or the amounts and classification of
liabilities  that  may  result  from  the  outcome  of  these  uncertainties.

3.  Earnings  Per  Share
    --------------------

The  following  table  sets  forth the computation of basic and diluted loss per
share:


<TABLE>
<CAPTION>

                                                       AS AT MARCH 31,
                                                -----------------------------
                                                  2001                 2002
                                                --------             --------
                                                    (in thousands, except
                                                        per share data)
<S>                                             <C>                  <C>
Numerator:
  Net loss (for basic and diluted
   loss per share)                              E (14,879)           E (14,572)
Denominator:
  Weighted average shares outstanding
   (for basic and diluted loss per share)          25,845               26,445
Basic and diluted loss per share                E   (0.58)           E   (0.55)

</TABLE>


                                        6


<PAGE>


The  denominator  for  diluted loss per share excludes the convertible preferred
stock  and  stock  options  because  the  inclusion of these items would have an
anti-dilutive  effect.

4.  Segment  Information
    --------------------

The  Company  operates in one line of business, which is providing international
Internet  backbone  and  access  services  and  network  business  solutions for
corporate  customers.

5.  Comprehensive  Loss
    -------------------

Accumulated  other  comprehensive loss consists of unrealized gains or losses on
marketable  securities and translation adjustments from consolidation.  At March
31,  2001  and 2002, the components of accumulated other comprehensive loss were
as  follows:


<TABLE>
<CAPTION>

                                                            THREE MONTHS ENDED MARCH 31,
                                                            -----------------------------
                                                              2001                 2002
                                                            --------             --------
                                                                 (Euros in thousands)

<S>                                                         <C>                  <C>
Net loss                                                    E (14,879)           E (14,572)
Net unrealized gains on short-term investments                    148                    6
Unrealized gains (losses) on foreign currency
 translation adjustments, net of tax                               37                 (579)
                                                            ---------            ---------
Comprehensive loss                                          E (14,694)           E (15,145)
                                                            =========            =========

</TABLE>


6.  Subsequent  Events
    ------------------

On  April  16,  2002,  the  Company entered into a share purchase agreement with
Westwood  Corporation  wherein  the  Company  sold all of the shares of Cybernet
Italia  S.p.A.  ("Italia") to Westwood in consideration for $10,000. The Company
will  recognize a loss of approximately Euro 1.8 million in connection with this
sale  transaction, primarily as a result of the forgiveness of a loan to Italia.


                                        7


<PAGE>


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

Cybernet  Internet Services International, Inc. is an Internet service provider,
providing  international  Internet  backbone  and  access  services  and network
business  solutions  for  corporate  customers.  The  following  discussion  and
analysis of the results of operations and financial condition of the Company for
the  three  months  ended  March 31, 2002 should be read in conjunction with the
consolidated  financial  statements  and  related notes included in this quarter
report,  as  well as the Company's annual report on Form 10-K for the year ended
December  31,  2001.

RESULTS  OF  OPERATIONS  -  Three  Months  Ended  March  31,  2002
-----------------------     --------------------------------------

Revenues
--------

The  following  table  sets  forth  selected  sales data for the Company for the
periods  indicated:


<TABLE>
<CAPTION>

                                      THREE MONTHS ENDED MARCH 31,
                                   ----------------------------------
                                     2001                     2002
                                   --------                ----------
                                         (Euros in thousands)
<S>                                <C>                     <C>
Revenue
  Internet data center services    E   2,661                E   2,709
  Connectivity                         6,715                    6,484
  E-business                             504                      115
                                   ---------               ----------
Total revenues                         9,880                    9,308

</TABLE>

Total  revenues  decreased  5.8% from Euro 9.9 million in the three months ended
March  31, 2001 to Euro 9.3 million in the first quarter of 2002, primarily as a
result  of  decreased  Connectivity and E-Business revenues. E-Business revenues
decreased  77.2% from Euro 0.5 million in the first quarter of  2001 to Euro 0.1
million  for  the  same  period in 2002 and Connectivity revenues decreased 3.4%
from  Euro  6.7  million  for  the first quarter 2001 to Euro 6.5 million in the
first  quarter  of 2002. Internet data center service ('IDC") revenues increased
1.8%  from  Euro 2.7 million in the first quarter of 2001 to Euro 2.7 million in
the  first  quarter  of  2002.

The  decrease  in E-Business revenues is primarily the result of the decision to
sell  more  pre-packaged  solutions  that  require less customized installation.
These  revenues  are  recorded  as  IDC  revenues.  The  Company  also  was more
selective  when  taking  on  E-Business projects in order to apply limited human
resources  to  the  projects most likely to generate long-term relationships and
recurring  revenues.  In  addition,  the  economic environment in the period was
particularly  difficult,  and  companies  have  been  delaying  projects  and
investments.  Connectivity  revenues  decreased principally due to a decrease in
the  number of customers in the Company's Italian and Austrian subsidiaries as a
result  of  competitive conditions in those markets.  Revenues from IDC services
increased  principally  due  to higher prices being attained for these services.

Direct  Cost  of  Services
--------------------------

Direct  cost  of  services  decreased  17.5%  from Euro 5.5 million in the first
quarter  of  2001  to Euro 4.5 million in the first quarter of 2002. Direct cost
of  services  consists of: 1) telecommunications expenses which mainly represent
the  cost of transporting Internet traffic from our customers' locations through
a  local  telecommunications  carrier  to  one  of our access nodes, transit and
peering


                                        8


<PAGE>


costs,  and  the  cost  of  leasing lines to interconnect the Company's backbone
nodes,  and  2)  the  cost  of  hardware  and  software sold. The Company mainly
utilizes  leased  lines  for it's backbone network and to connect its network to
its  major  customers'  premises.  Direct  cost  of  services as a percentage of
revenues decreased from 55.6% in the first quarter of 2001 to 48.7% in the first
quarter  of  2002.  The  decrease reflects a continuous effort by the Company to
reorganize  its  network.

Network  Operations
-------------------

Network  operations  costs  decreased  52.1%  from Euro 2.1 million in the first
quarter  of  2001  to  Euro  1.0 million  in the first quarter of  2002. Network
operations  mainly  consist  of:  1)  the  personnel  costs  of  technical  and
operational  staff  and  related  overhead,  2) the rental of premises solely or
primarily  used  by  technical  staff,  including  premises  used  to  generate
co-location services revenues, and 3) consulting expenses in the area of network
and  software  development.  The  decrease  reflects  a continuous effort by the
Company  to  reorganize its technical structure and implement synergies, leading
to  a  significant  decrease  in  personnel  related  costs.

General  and  Administrative  Expenses
--------------------------------------

General and administrative expenses increased 62.1% from Euro 3.4 million in the
first  quarter  of  2001  to  Euro 5.5 million in the first quarter of 2002. The
increase  is mainly due to a significant reserve for bad debt relating to one of
the Company's main resellers in Germany, as well as the provision for litigation
and  legal  fees.  However,  the  Company  achieved  synergies  from integrating
subsidiaries  and  cost  control  measures instituted during the last 12 months,
leading  to  a  significant  decrease  in personnel and personnel related costs.
General  and  administrative  expenses consist principally of salaries and other
personnel  costs  for administrative staff, office rent, allowance for bad debts
and  professional  fees  and  costs.  The  Company's  had  42  general  and
administrative  personnel  on  March  31, 2002 compared to 60 at March 31, 2001.

Sales  and  Marketing  Expenses
-------------------------------

Sales  and  marketing  expenses decreased by 23.6% from Euro 2.7 million  in the
first  quarter  of  2001 to Euro 1.9 million  in the first quarter of 2002. This
decrease  is  mainly  due  to  the  Company  reorganizing  its  global sales and
marketing  organization.  Sales  and  marketing  expenses consist principally of
salaries  of  the  Company's sales force and marketing personnel and advertising
and  communication  expenditures.  The  Company  had  117  sales  and  marketing
personnel  on  March  31,  2002 compared to approximately 133 on March 31, 2001.

Research  and  Development
--------------------------

Research  and  development expenses decreased from Euro 0.2 million in the first
quarter  of  2001  to nil in the first quarter of 2002. Research and development
expenses  consist principally of personnel costs of employees working on product
development,  consulting  costs  and  certain  overhead  items.  Due  to  the
availability  of  products  from  partners  and  suppliers,  no  research  and
development  expenses  were  necessary  in  the  current  period.

The Company had no research and development staff on March 31, 2002, compared to
approximately  7  people  at  March  31,  2001.


                                        9


<PAGE>


Depreciation  and  Amortization
-------------------------------

Depreciation  and amortization expenses decreased 50.1% from Euro 5.0 million in
the first quarter of 2001 to Euro 2.5 million in the first quarter of 2002. This
decrease reflects the nearly complete write off at December 31, 2001 of goodwill
related  to  prior  acquisitions.

Interest  Income  and  Expense
------------------------------

Interest  expense  increased 18.3% from Euro 5.8 million in the first quarter of
2001  to  Euro  6.8  million  in  the  first  quarter of 2002, as a result of an
increase  in  indebtedness  and  changes  in  the exchange rate between the U.S.
dollar  and  the  Euro.

Interest  income  decreased  82.1% from Euro 0.6 million in the first quarter of
2001  to  Euro  0.1  million  in  the  first quarter of 2002, as a result of the
utilization  of  the  proceeds  from  the  issuance  of  debt  securities.

In  the  first  quarter  of  2002,  the  Company incurred a net foreign exchange
translation loss of Euro 1.6 million compared with Euro 6.3 million in the first
quarter  of  2001,  primarily  due  to  U.S.  dollar  denominated  borrowings.

Income  Taxes
-------------

The  Company  recorded  income  tax benefits of nil in the first quarter of 2002
compared  with  Euro  1.6 million in the first quarter of 2001, as a result of a
valuation  allowance  provided  for  the  deferred  tax  assets  in  2001.

LIQUIDITY  AND  CAPITAL  RESOURCES
----------------------------------

Cash  flow
----------

Operating  activities used cash of Euro 4.7 million in the first three months of
2002  compared  to  Euro 13.5 million for the comparable period in 2001. This is
principally  the result of reduced losses and decreased expenditure in all areas
of  the  Company.

For the first three months of  2002, investing activities generated cash of Euro
6.2  million  compared  to  Euro 13.4 million for the comparable period in 2001.
Cash  generated  from  investing activities represents the net proceeds from the
sale  of  short-term  investments, partially offset by purchases of property and
equipment.  Expenditures for property and equipment consisted principally of the
fit-out  of  points  of  presence  and  data  facilities,  purchases of computer
hardware  and  software and other expenditures related to the maintenance of the
Company's  Internet  backbone  and  equipment.

For  the  first  three months of 2002, net cash used by financing activities was
Euro  1.7  million  compared  Euro  3.0  million  in  the  same  period in 2001,
primarily  due  to  the  early  termination of one of the Company's main leasing
contracts  in  the  current  period.


                                       10


<PAGE>


Working  Capital
----------------

On  March 31, 2002, working capital, defined as the excess of our current assets
over current liabilities, was Euro (5.1) million as compared to Euro 1.6 million
at  December  31,  2001.

Net  accounts  receivable  as at March 31, 2002 was Euro 6.6 million compared to
Euro  8.9  million  as  at  December  31,  2001.  The Company has taken steps to
improve  the  timely  collection  of  receivables.

Cash  and  cash  equivalents  amounted to Euro 2.7 million at March 31, 2002 and
December  31,  2001,  respectively.

The Company had various short-term investments denominated in Euro totaling Euro
0.1  million  at March 31, 2002. In addition, at March 31, 2002, the Company had
approximately  Euro  5.3  million of restricted investments held in escrow. This
amount  is  invested  in  U.S.  treasury  securities.

Credit  Arrangements
--------------------

As  of March 31, 2002, the Company was granted a short-term credit facility from
a  Swiss  Bank.  The  credit  facility  is  secured  by substantially all of the
Company's  assets.  Under  the  credit  facility,  the lender has agreed to make
available  up  to Euro 7.0 million, subject to various terms and conditions. The
amount  drawn  and  outstanding  as  of March 31, 2002 was Euro 0.9 million. The
Company  is  currently  dependent on the credit facility to continue operations.
There  can  be no assurance that the Company will receive further advances under
the  credit  facility or that the Company will have sufficient funds to continue
operations in the future. The Company may need to obtain additional financing in
the  future and there can be no assurance that the Company will be successful in
obtaining  such  financing  or  on  satisfactory  terms.

Capital  Expenditures
---------------------

For  the  three  months  ended  March  31,  2002,  capital  expenditures totaled
approximately Euro 0.1 million. These capital expenditures were funded primarily
from  financing  activities.  Investments  in  the  first  three  months of 2002
included:  (i) investments in data facilities and data center premises, and (ii)
investments  in  other  equipment.

ITEM  3.  QUANTITATIVE  AND  QUALITATIVE  DISCLOSURES  ABOUT  MARKET  RISK

Reference is made to the Company's annual report on Form 10-K for the year ended
December 31, 2001 for information concerning market risk.  The Company is of the
opinion  that  there have been no material changes in market risk since December
31,  2001.


                                       11


<PAGE>


                           PART II.  OTHER INFORMATION
                                     -----------------

ITEM  1.  LEGAL  PROCEEDINGS

Reference is made to the Company's annual report on Form 10-K for the year ended
December  31,  2001  for  information  concerning  legal  proceedings.

The  Company  is  subject to routine litigation incidental to its business.  The
Company  does  not  believe  that  the  outcome  of  such litigation will have a
material  adverse  effect  on  its  business  or  financial  condition.

ITEM  6.  EXHIBITS  AND  REPORTS  ON  FORM  8-K

(a)    Exhibits

       None.

(b)    Reports  on  Form  8-K

       The Company filed the following reports on Form 8-K in the three months
       ended March  31,  2002:

       Form  8-K  dated  January  30,  2002:
          Item  2.  Acquisition  and  Disposition  of  Assets
          Item  7.  Financial  Statements  and  Exhibits

       Form  8-K  dated  March  27,  2002:
          Item  5.  Other  Events
          Item  7.  Financial  Statements  and  Exhibits


                                       12


<PAGE>


                                   SIGNATURES

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.


                                               CYBERNET  INTERNET  SERVICES
                                               INTERNATIONAL,  INC.


                                               By: /s/  Michael  Smith
                                                  ----------------------------
                                                  Michael  Smith
                                                  President  and  Chief
                                                  Financial Officer