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 SEPTEMBER 30, 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  November  29,  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.  When used herein, such statements may use words such as "may",
"will",  "expect",  "believe", "plan" and similar terminology.  These statements
reflect  management's current expectations regarding future events and operating
performance  and speak only as of the date hereof.  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  international,  national  and  local business and economic
conditions,  competition,  changes  in  interest  rates, actions by competitors,
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.  The  foregoing  list of factors is not exhaustive.


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

ITEM  1.     FINANCIAL  STATEMENTS




                 CYBERNET INTERNET SERVICES INTERNATIONAL, INC.

                        CONSOLIDATED FINANCIAL STATEMENTS

                  FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2002

                                  (UNAUDITED)


                                        2

<PAGE>

                 CYBERNET INTERNET SERVICES INTERNATIONAL, INC.

                           CONSOLIDATED BALANCE SHEETS
                                   (UNAUDITED)
<TABLE>
<CAPTION>



                                                               December 31,   September 30,
                                                                   2001            2002
                                                               ------------   -------------
<S>                                                            <C>            <C>
                                                                   (Euros in thousands)
ASSETS
Current Assets
  Cash and cash equivalents                                    E     2,735     E    23,793
  Restricted cash                                                    2,743           1,815
  Short-term investments                                               149              68
  Trade accounts receivable, net                                     8,903           3,707
  Related party receivable                                             356               -
  Other receivables                                                  2,721           1,966
  Restricted investments                                            10,567               -
  Prepaid expenses                                                     574             368
  Other current assets                                                 947             319
                                                               -----------     -----------
     Total current assets                                           29,695          32,036
Long-Term Assets
  Property and equipment, net                                       32,653           2,319
  Product development costs, net                                       806               -
  Investments in equity-method investees                             2,770             283
  Deferred debt issuance and other charges                           6,048           3,851
                                                               -----------     -----------
TOTAL ASSETS                                                   E    71,972     E    38,489
                                                               ===========     ===========

LIABILITIES
Current Liabilities
  Overdrafts and short-term borrowings                         E       170     E         -
  Trade accounts payable                                            13,155           3,587
  Other accrued liabilities                                         11,835          10,830
  Current portion long-term debt and capital lease obligations       1,060               -
  Accrued personnel costs                                            1,848           1,998
                                                               -----------     -----------
     Total current liabilities                                      28,068          16,415

Long-Term Liabilities
  Long-term debt                                                   164,573         161,619
  Capital lease obligations                                            435               -
                                                               -----------     -----------
     Total liabilities                                             193,076         178,034
                                                               -----------     -----------

SHAREHOLDERS' DEFICIENCY
  Common stock                                                          25              25
  Additional paid-in capital                                       127,718         127,718
  Accumulated deficit                                             (249,473)       (267,331)
  Other comprehensive income                                           626              43
                                                               -----------     -----------
     Total shareholders' deficiency                               (121,104)       (139,545)
                                                               -----------     -----------
TOTAL LIABILITIES AND SHAREHOLDERS' DEFICIENCY                 E    71,972     E    38,489
                                                               ===========     ===========

</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       NINE MONTHS ENDED
                                                        SEPTEMBER 30,            SEPTEMBER 30,
                                                     ---------------------   ----------------------
                                                       2001         2002        2001        2002
                                                     ---------    --------   ----------   ---------
<S>                                                  <C>          <C>        <C>          <C>
                                                       (Euros in thousands, except per share data)

Revenues                                             E   9,879    E  5,155    E   9,661   E  21,186
Costs and expenses:
    Direct cost of services                              5,601       3,449       17,255      11,985
    Network operations                                   1,695       1,138        5,925       3,468
    General and administrative expenses                  3,149       5,089        9,690      15,312
    Sales and marketing expenses                         2,692       1,149        8,201       4,414
    Research and development                               344           -          728           -
    Impairment of assets                                     -       1,021            -       7,665
    Depreciation and amortization                        6,384       1,127       16,255       5,639
                                                     ---------    --------   ----------   ---------
      Total costs and expenses                          19,865      12,973       58,054      48,483
                                                     ---------    --------   ----------   ---------
Operating loss                                          (9,986)     (7,818)     (28,393)    (27,297)

Other income and expenses:
    Interest expense                                    (6,668)     (6,326)     (19,101)    (19,718)
    Interest income                                        272         746        1,351         948
    Gain (loss) on disposal of assets and businesses         -       1,173       (2,556)     14,406
    Equity in losses of equity-method investees           (671)       (117)        (975)       (386)
    Foreign currency gains (losses)                      8,158      (1,422)      (2,516)     14,184
                                                     ---------    --------   ----------   ---------
Loss before taxes and extraordinary item                (8,895)    (13,764)     (52,190)    (17,863)
Income tax benefit (expense)                             1,880          (2)       6,306           5
                                                     ---------    --------   ----------   ---------
Loss before extraordinary item                          (7,015)    (13,766)     (45,884)    (17,858)
Extraordinary item:
    Gain on extinguishment of debt (net of tax)            592            -       4,607           -
                                                     ---------    ---------   ---------   ---------
Net loss                                                (6,423)     (13,766)    (41,277)    (17,858)
Accumulated deficit, beginning of period              (149,687)    (253,565)   (114,833)   (249,473)
                                                     ---------    ---------   ---------   ---------
Accumulated deficit, end of period                   E(156,110)   E(267,331)  E(156,110)  E(267,331)
                                                     =========    =========   =========   =========

Loss per share, basic and diluted:
    Loss before extraordinary item                   E   (0.27)   E   (0.52)  E   (1.78)  E   (0.68)
    Gain on extraordinary item                            0.02            -        0.18           -
                                                     ---------    ---------   ---------   ---------
    Net loss per share                               E   (0.25)   E   (0.52)  E   (1.60)  E   (0.68)
                                                     =========    =========   =========   =========
Weighted average number of shares
    outstanding (in thousands)                          25,846       26,445      25,846      26,445
                                                     =========    =========   =========   =========

</TABLE>


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


                                        4

<PAGE>

                 CYBERNET INTERNET SERVICES INTERNATIONAL, INC.

                 CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS
                                   (UNAUDITED)

<TABLE>
<CAPTION>

                                                  THREE MONTHS ENDED        NINE MONTHS ENDED
                                                     SEPTEMBER 30,            SEPTEMBER 30,
                                                ----------------------    ---------------------
                                                  2001          2002        2001         2002
                                                --------      --------    --------     --------
<S>                                             <C>           <C>          <C>         <C>
                                                             (Euros in thousands)

Net loss                                        E (6,423)     E(13,766)   E(41,277)    E(17,858)
Net unrealized gains on available-for-sale
   securities                                        160           106         297           60
Unrealized gains (losses) on foreign currency
   adjustments, net of tax                           (31)         (117)         25         (641)
                                                --------      --------    --------     --------
Comprehensive loss                              E (6,294)     E(13,777)   E(40,955)    E(18,439)
                                                ========      ========    ========     ========

</TABLE>


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


                                        5

<PAGE>

                 CYBERNET INTERNET SERVICES INTERNATIONAL, INC.

                      CONSOLIDATED STATEMENTS OF CASH FLOWS
                                   (UNAUDITED)

<TABLE>
<CAPTION>

                                                                    NINE MONTHS ENDED SEPTEMBER 30,
                                                                    -------------------------------
                                                                       2001                 2002
                                                                    ----------           ----------
<S>                                                                 <C>                     <C>
                                                                         (Euros in thousands)
Cash Flows from Operating Activities:
Net loss                                                            E  (41,277)          E  (17,858)
Adjustments to reconcile net loss to net cash used by operations:
    Deferred taxes                                                      (6,306)                   -
    Depreciation and amortization                                       16,732                5,639
    Equity in losses of equity-method investees                            498                  386
    Provision for losses on accounts receivable                          1,002                1,885
    Loss on sale of short-term investment                                  266                    -
    Amortization of bond discount                                        2,044                1,889
    Accreted interest expense on long-term debt                          8,697               10,087
    Impairment of assets                                                 2,556                7,665
    Gain on disposal of assets                                               -              (15,011)
    Loss on disposal of businesses                                           -                  938
    Gain on extinguishment of debt                                      (4,608)                   -
    Foreign currency translation loss (gain)                             4,247              (13,864)

    Changes in operating assets and liabilities:
      Restricted cash                                                        -                  928
      Trade accounts receivable                                            (92)                 684
      Other receivables                                                  1,481                  766
      Other assets                                                         330                   78
      Prepaid expenses                                                     478                 (491)
      Other current assets                                                   -                   57
      Trade accounts payable                                              (511)              (3,454)
      Other accrued expenses and liabilities                            (4,446)                (490)
      Accrued personnel costs                                             (523)                 794
                                                                    ----------           ----------
           Net cash used in operating activities                       (19,432)             (19,372)

Cash Flows from Investing Activities:
Proceeds from sale of short-term investments                            21,238                   79
Proceeds from sale of restricted investments                            10,194               10,067
Purchase of property and equipment                                      (8,408)                (418)
Proceeds from sale of property and equipment                                 -               32,106
Acquisition of equity method investments                                  (409)                   -
Sale of businesses, net of cash sold                                         -                  541
Payment of deferred purchase obligations                                (2,034)                   -
                                                                    ----------           ----------
           Net cash provided by investing activities                    20,581               42,375

Cash Flows from Financing Activities:
Principal payments under capital lease obligations                        (397)              (1,561)
Repayment of borrowings                                                 (3,626)                (170)
                                                                    ----------           ----------
           Net cash used in financing activities                        (4,023)              (1,731)
                                                                    ----------           ----------

Impact of foreign exchange rate changes                                     27                 (214)
                                                                    ----------           ----------
Net (decrease) increase in cash and cash equivalents                    (2,847)              21,058
Cash and cash equivalents at beginning of period                         8,763                2,735
                                                                    ----------           ----------
Cash and cash equivalents at end of period                          E    5,916           E   23,793
                                                                    ==========           ==========

</TABLE>


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


                                        6

<PAGE>

                 CYBERNET INTERNET SERVICES INTERNATIONAL, INC.

              NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS
                    FOR NINE MONTHS ENDED SEPTEMBER 30, 2002

1.     BASIS  OF  PRESENTATION

The  accompanying  interim period unaudited consolidated financial statements of
Cybernet  Internet  Services  International,  Inc.  (the  "Company")  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  the  Company  for  the  periods  presented  have  been included.
Operating  results  for  the  nine  months  ended  September  30,  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.  Certain reclassifications have been
made  to  the prior period financial statements to conform to the current period
presentation.

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  or 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  (LOSS)  PER  SHARE

Basic  earnings (loss) per share is computed by dividing income (loss) available
to  common  shareholders  by  the  weighted average number of shares outstanding
during  the  period.  Diluted earnings per share takes into consideration shares
outstanding  (computed  under basic earnings per share) and potentially dilutive
shares.  For  the  periods ended September 30, 2001 and 2002, the computation of
diluted  loss  per  share  excludes the convertible preferred stock, convertible
notes  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.


                                        7


<PAGE>

5.     DISPOSAL  OF  ASSETS  AND  BUSINESSES

On  April  16,  2002,  the  Company entered into a share purchase agreement with
Westwood  Corporation ("Westwood") wherein the Company sold all of the shares of
Cybernet  Italia  S.p.A.  to  Westwood in consideration for $10,000. The Company
recognized  a  loss  of  approximately E1.8 million in connection with this sale
transaction.

On  June  25,  2002,  Cybernet  Internet  Dienstleistungen AG ("Cybernet AG"), a
wholly-owned  subsidiary  of  the  Company,  entered  into an asset purchase and
transfer  agreement  (the  "Data  Center  Agreement")  with  Disko  Leasing GmbH
("Disko"),  pursuant  to which Cybernet AG sold assets, equipment, furniture and
fixtures  located  in its data centers in Hamburg, Frankfurt and Munich, Germany
(the  "Data  Centers")  to Disko, effective April 30, 2002. Pursuant to the Data
Center  Agreement,  Cybernet  AG also cancelled certain lease agreements for the
Data  Centers,  terminated  operating  agreements  for the Data Centers, amended
certain service agreements for the Data Centers in Frankfurt and Munich, Germany
and  paid  an  arrangement  fee  to  Telehouse  Deutschland  GmbH.  The  Company
recognized  a  gain  of  approximately E15.0  million  as  a result of this sale
transaction.

In  the  quarter  ended  September  30,  2002,  the  Company  completed  asset
dispositions  for  total  sales  proceeds  of  approximately E0.7 million.

6.     DEFERRED  DEBT  ISSUANCE  AND  OTHER  CHARGES

Deferred  debt  issuance  and  other  charges  consist  principally  of expenses
incurred  by  the  Company  in  connection with the notes issued during 1999 and
amounts  allocated  to customer base and management contracts in connection with
business  acquisitions.  Deferred  debt  issuance charges are being amortized to
interest  expense  over  the  period  of  the maturity of the said notes.  Other
deferred  charges are being amortized on a straight-line basis over their useful
lives.

7.     RELATED  PARTY  TRANSACTIONS

MFC  Bancorp  Ltd. ("MFC") is considered a related party as MFC maintains voting
rights  on  behalf  of  two  shareholders  that  hold  approximately  26% of the
Company's  outstanding  shares,  and  an executive officer and a member of MFC's
board  of  directors is an executive officer and a member of the Company's board
of directors.  A Swiss bank affiliate of MFC provides a revolving senior secured
credit facility in an aggregate amount of E7.0 million to the Company.  In April
2002,  the  Company entered into an agreement to engage MFC to provide strategic
advisory  and  restructuring  services.  Pursuant to such agreement, MFC will be
paid a success fee upon the completion of a successful debt restructuring and on
specified  transactions,  measured  as  a  percentage  of  the  amount  of  debt
restructured  or  transactions  completed and subject to an overall cap on total
fees.  In  the  interim,  the  Company  pays  a monthly work fee of  E175,000 in
advance  to  MFC.  The agreement is terminable by either party on 30 days' prior
written  notice.

8.     COMMITMENTS/LEASES

As at September 30, 2002, the Company had commitments under operating leases and
rental  payments  totaling approximately E3.3 million, payable over the 15-month
period  ending  December  31,  2003.


                                        8

<PAGE>

9.     SUBSEQUENT  EVENTS

In  November  2002,  Cybernet  AG  entered  into  an asset purchase and transfer
agreement  with  PSINet  GmbH  and PSINet Data Center Germany GmbH (collectively
"PSINet")  pursuant  to which it agreed, subject to various conditions customary
for  agreements  of  this nature, to transfer to PSINet certain assets including
customer  contracts.  The Company currently expects closing to occur in the last
quarter  of  2002  or  early  2003.

The  Company  has  entered  into  a  letter  of  intent to acquire a controlling
interest and invest in an electronic commerce business in Asia.  The acquisition
of  such  interest  is  subject  to  conditions  customary  for  this  type  of
transaction,  including  satisfactory  due  diligence  and  the entering into of
definitive  agreements.


                                        9

<PAGE>

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

Cybernet  Internet Services International, Inc. (the "Company" and together with
its  subsidiaries  "Cybernet")  is  an  Internet service provider. The following
discussion  and analysis of the results of operations and financial condition of
the  Company for the nine month and three month periods ended September 30, 2002
should  be  read  in  conjunction with the consolidated financial statements and
related  notes  included  elsewhere  herein  and  in the Company's latest annual
report  on  Form  10-K  for  the  year  ended  December  31,  2001.

RESULTS  OF  OPERATIONS  -  NINE  MONTHS  ENDED  SEPTEMBER  30, 2002 (UNAUDITED)

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

<TABLE>
<CAPTION>

                                      NINE MONTHS ENDED SEPTEMBER 30,
                                     ---------------------------------
                                        2001                    2002
                                     ---------               ---------
<S>                                  <C>                     <C>
                                          (Euros in thousands)
Revenues
     Internet data center services   E  7,595                E  4,298
     Connectivity                      21,173                  16,474
     E-business                           893                     414
                                     --------                --------
        Total revenues               E 29,661                E 21,186
                                     ========                ========

</TABLE>

In the nine months ended September 30, 2002, revenues decreased to E21.2 million
from E29.7  million  in  the comparable period of 2001. The decrease in revenues
reflected  lower  revenues  in all segments, resulting from a difficult economic
environment  wherein  customers  have  delayed projects and investments, and the
rationalization  of  Cybernet's  operations. For the nine months ended September
30,  2002,  internet  data  center  service  ("IDC")  revenues decreased to E4.3
million  from E7.6  million  in  the  same period of 2001. Connectivity revenues
decreased  to E16.5 million in the current period from E21.2 million in the same
period  of  2001.  Such  decreases  in  revenues  resulted  primarily  from  the
disposition  of  certain assets as part of Cybernet's rationalization, including
its  Italian  operations  in  April  2002 and assets and equipment at three data
centers  (the "Data Centers") in Germany effective April 30, 2002 pursuant to an
asset purchase and transfer agreement (the "Data Center Agreement") made between
the  Company's  wholly-owned  subsidiary,  Cybernet Internet Dienstleistungen AG
("Cybernet  AG"),  and  Disko  Leasing  GmbH  dated  June  25,  2002.

Direct  cost  of services decreased to E12.0 million in the first nine months of
2002  from E17.3  million in the comparable period of 2001 primarily as a result
of  lower  revenues.  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 costs, and the cost of leasing lines to
interconnect  our backbone nodes, and 2) the cost of hardware and software sold.
The  Company  mainly  utilizes  leased  lines  for  its backbone network, and to
connect  its  network  to  its  major  customers'  premises.

Network  operations  costs decreased to E3.5 million in the first nine months of
2002  from E5.9  million  in  the  comparable period of 2001. Network operations
costs  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


                                       10

<PAGE>

revenues,  and  3)  consulting  expenses  in  the  area  of network and software
development.  The decrease reflects a continuous effort to reorganize Cybernet's
technical  structure  and  reduce  personnel  costs.

General and administrative expenses increased to E15.3 million in the first nine
months  of 2002 from E9.7 million in the comparable period of 2001. The increase
results  primarily  from  reserves  for  accounts  receivable  from  a principal
distressed  connectivity  reseller  in Germany, the early termination of tenancy
agreements,  legal  and  professional  costs,  and  business rationalization and
related  costs.  Synergies  from integrating various operations and cost control
measures  resulted  in  lower personnel and personnel related costs. General and
administrative  expenses  consist  principally  of  salaries and other personnel
costs  for  administrative  staff,  rent,  allowance  for bad debts and external
advisory  costs.  Sales  and marketing expenses decreased to E4.4 million in the
first  nine  months  of 2002 from E8.2 million in the comparable period of 2001.

During  2002,  Cybernet  continued  to  re-focus its activities towards its core
operations and rationalize its assets and operations.  As at September 30, 2002,
Cybernet  had  approximately  76  employees. As a result, Cybernet terminated or
re-assessed various projects and initiatives and the Company recorded impairment
losses  of  approximately E7.7  million  in  the  first  nine  months  of  2002.
Cybernet's review of its core and other operations is currently ongoing and may,
in  the  future,  result  in  the  Company reassessing the carrying value of its
assets  and/or  providing  for  additional  costs  and  expenses.

Depreciation  and  amortization  expenses decreased to E5.6 million in the first
nine  months  of  2002 from E16.3 million in the comparable period of 2001. This
decrease  reflects  the  write-off  on  December 31, 2001 of almost all goodwill
related  to  prior  acquisitions.

For  the nine months ended September 30, 2002, the Company reported an operating
loss  of E27.3  million,  compared  to E28.4 million in the comparable period of
2001.

Interest expense for the nine months ended September 30, 2002 increased to E19.7
million  from E19.1  million  in  the  comparable period of 2001, primarily as a
result  of  an  increase  in  indebtedness  during  the  current  period.

In the first nine months of 2002, the Company had a net gain of E14.4 million on
the disposal of assets, primarily resulting from the sale of the Data Centers by
Cybernet  AG  pursuant  to  the  Data  Center  Agreement.

In  the  first  nine months of 2002, the Company reported a net foreign currency
gain  of E14.2 million, primarily as a result of the effect of the strengthening
of  the  Euro  versus  the  U.S. dollar on the Company's U.S. dollar denominated
debt.  The  Company  reports its financial results in Euros and a portion of its
outstanding  indebtedness  is  denominated  and payable in U.S. dollars.  As the
Euro  fluctuates  in  value against the U.S. dollar, the amount of the Company's
U.S.  dollar  denominated  debt  as  reported  in  Euros also fluctuates.  These
differences  are  recorded  as  either  foreign  currency gains or losses by the
Company  in  any  particular  reporting  period.  Such reported foreign currency
gains  or losses will fluctuate with the exchange rate for Euros to U.S. dollars
from reporting period to reporting period. In the comparable period of 2001, the
Company  recorded  a  net  foreign  currency  loss  of E2.5  million.


                                       11

<PAGE>

For  the  nine months ended September 30, 2002, the Company's net loss decreased
to E17.9 million from E41.3 million for the comparable period of 2001, primarily
as  a  result  of  the  non-recurring  gain  resulting from the sale of the Data
Centers  by  Cybernet  AG  and  a  foreign  currency  gain.

RESULTS  OF  OPERATIONS  -  THREE  MONTHS  ENDED  SEPTEMBER 30, 2002 (UNAUDITED)

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

<TABLE>
<CAPTION>

                                        THREE MONTHS ENDED
                                           SEPTEMBER 30,
                                     ------------------------
                                       2001            2002
                                     --------        --------
<S>                                  <C>             <C>
                                       (Euros in thousands)
Revenues
     Internet data center services   E  2,294        E    488
     Connectivity                       7,317           4,652
     E-business                           268              15
                                     --------        --------
         Total revenues              E  9,879        E  5,155
                                     ========        ========

</TABLE>

Total revenues decreased to E5.2 million in the three months ended September 30,
2002  from E9.9  million  in the third quarter of 2001, primarily as a result of
lower  IDC  and  connectivity  revenues,  resulting  from  a  difficult economic
environment  wherein  customers  have  delayed projects and investments, and the
rationalization  of  Cybernet's  operations. For the quarter ended September 30,
2002, IDC revenues decreased to E0.5 million from E2.3 million in the comparable
period  in  2001. Connectivity revenues decreased to E4.7 million in the quarter
ended  September  30,  2002  from E7.3 million in the comparable period in 2001.
Connectivity  revenues  decreased principally due to a decrease in the number of
customers  as  a result of competitive conditions and the disposition of certain
operations.

Direct  cost  of services decreased to E3.4 million in the third quarter of 2002
from E5.6  million  in  the  third  quarter  of  2001.  The  decrease reflects a
continuous  effort  by  the  Company  to reorganize and rationalize its network.
Network  operations costs decreased to E1.1 million in the third quarter of 2002
from E1.7  million  in  the  third  quarter  of  2001.  The  decrease reflects a
continuous  effort  by  the  Company  to  reorganize its technical structure and
reduce  personnel  costs.

General  and  administrative  expenses  increased  to E5.1  million in the third
quarter  of  2002  from E3.1  million in the third quarter of 2001. The increase
resulted  primarily  from the early termination of tenancy agreements, legal and
professional  costs,  and  business  rationalization  and  related  expenses.

Sales  and  marketing expenses decreased to E1.1 million in the third quarter of
2002  from E2.7  million  in  the  third  quarter  of  2001.  Depreciation  and
amortization  expenses  decreased  to E1.1  million in the third quarter of 2002
from E6.4  million  in  the  third  quarter  of  2001.

In  the  third  quarter  of 2002, the Company reported an operating loss of E7.8
million,  compared  to an operating loss of E10.0 million for the same period of
2001.

Interest expense was E6.3 million in the third quarter of 2002, compared to E6.7
million  in  the  third  quarter  of  2001.


                                       12

<PAGE>

In  the  third quarter of 2002, the Company reported a net foreign currency loss
of E1.4  million, compared to a net gain of E8.2 million in the third quarter of
2001, primarily reflecting the effect of the weakening in the current quarter of
the  Euro  versus the U.S. dollar on the Company's U.S. dollar denominated debt.

During  the  third  quarter  of  2002,  the Company reported a net loss of E13.8
million  which includes a net foreign currency loss of E1.4 million, compared to
a  net  loss  of E6.4 million for the comparable period of 2001 which included a
net  foreign  currency  gain  of E8.2  million.

LIQUIDITY  AND  CAPITAL  RESOURCES

Operating activities used cash of E19.4 million in the first nine months of 2002
and  2001.  A  decrease in trade accounts receivable in the first nine months of
2002  provided  cash  of E0.7 million, compared to an increase in the same using
cash  of E0.1  million  in  the  first nine months of 2001. An increase in other
receivables  in  the  first  nine  months of 2002 provided cash of E0.8 million,
compared  to E1.5  million  in  the  first  nine months of 2001.  An increase in
restricted  cash provided cash of E0.9 million in the first nine months of 2002.
A  decrease in trade accounts payable in the first nine months of 2002 used cash
of E3.5  million, compared to E0.5 million in the comparative period of 2001.  A
decrease  in other accrued expenses and liabilities used cash of E0.5 million in
the  first  nine  months  of  2002,  compared to E4.4 million in the comparative
period  of  2001.  An  increase in accrued personnel costs provided cash of E0.8
million  in the current period, compared to a decrease in the same using cash of
E0.5  million  in  the  comparative  period  of  2001.

For  the  first nine months of 2002, investing activities provided cash of E42.4
million,  compared  to E20.6  million  in  the  comparable  period  in 2001. The
increase  in cash resulted primarily from the disposition of the Data Centers by
Cybernet  AG  as  well  as  the  sale  of  investments.

For  the  first  nine  months  of  2002,  financing activities used cash of E1.7
million, primarily as a result of the early termination of leasing contracts. In
the  comparable  period in 2001, financing activities used cash of E4.0 million,
primarily  as  a  result  of  the  repayment  of  borrowings.

On  July  1,  2002,  the  Company  paid the semi-annual interest payment of E4.7
million  on  its  outstanding  senior convertible notes due 2009 from restricted
investments deposited in its interest escrow account.  As a result, the interest
escrow  account  for  such  notes  has  been  fully  disbursed.

On  September 30, 2002, working capital, defined as the excess of current assets
over  current  liabilities,  was E15.6  million,  compared  to E1.6  million  at
December  31,  2001.

Net trade accounts receivable as at September 30, 2002 decreased to E3.7 million
from E8.9 million as at December 31, 2001. Cash and cash equivalents amounted to
E23.8 million  and E2.7  million  at  September  30, 2002 and December 31, 2001,
respectively.  At September 30, 2002, the Company had approximately E1.8 million
of restricted cash. This amount was held as a deposit for outstanding guarantees
and  for  other  purposes.

In  March  2002,  the  Company  was  granted  a  revolving senior secured credit
facility  from  a  Swiss  Bank,  a related party, that matures in March 2003 for
maximum borrowings of E7.0 million.  The Company is obligated to borrow in three
tranches  and  each  tranche  is  dependent  upon certain conditions. The credit
facility  bears  interest  at  a  rate  of  14%  per  annum  and  is  secured by
substantially  all  of  the  Company's  assets  excluding  restricted  cash  and
investments.  The  amount


                                       13

<PAGE>

drawn  and  outstanding  under  the credit facility as of September 30, 2002 was
nil.  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  its  current  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.

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.

ITEM  4.  DISCLOSURE  CONTROLS  AND  PROCEDURES

Within  90  days  prior  to  the date of this report, the Company carried out an
evaluation,  under  the  supervision and with the participation of its principal
executive  officer  and principal financial officer, of the effectiveness of the
design  and  operation of its disclosure controls and procedures.  Based on this
evaluation,  the  Company's  principal executive officer and principal financial
officer  concluded  that  the  Company's  disclosure controls and procedures are
effective in timely alerting him to material information required to be included
in  the  Company's  periodic reports filed with the U.S. Securities and Exchange
Commission.  It  should  be  noted  that the design of any system of controls is
based  in  part upon certain assumptions about the likelihood of certain events,
and  there  can  be  no  assurance that any design will succeed in achieving its
stated  goals  under  all  future  conditions,  regardless  of  how  remote.  In
addition,  the  Company  reviewed  its internal controls, and there have been no
significant  changes  in  such  internal controls or in other factors that could
significantly  affect  those  controls  subsequent  to  the  date  of their last
evaluation.


                                       14

<PAGE>

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

ITEM  1.  LEGAL  PROCEEDINGS

The  Company  is subject to routine litigation incidental to its business and is
named  from  time to time as a defendant in various legal actions.  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.

In  view  of  the inherent difficulty of predicting the outcome of such matters,
particularly in cases in which damages are sought, the Company cannot state what
the  eventual outcome of pending matters will be.  The Company is contesting the
allegations  made  in  each pending matter and while it believes, based upon its
current  knowledge,  that  the  outcome of such matters will not have a material
adverse  effect  on  the Company's consolidated financial position, such matters
may  be  material  to  the  Company's operating results for a particular period.

ITEM  6.  EXHIBITS  AND  REPORTS  ON  FORM  8-K

(a)    EXHIBITS

       99.1  -  Certification  of  Periodic  Report

(b)    REPORTS  ON  FORM  8-K

       The Company  filed  the following reports on Form 8-K in the three months
       ended September  30,  2002:

       Form  8-K/A  dated  July  10,  2002:
          Item  7.  Financial  Statements  and  Exhibits

       Form  8-K  dated  July  22,  2002:
          Item  5.  Other  Events  and  Regulation  FD  Disclosure


                                       15

<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.


Date:  November  29,  2002               By:  /s/  Michael  J.  Smith
                                            ---------------------------------
                                            Michael  J.  Smith
                                            Chief Executive Officer and Chief
                                            Financial  Officer


                                       16

<PAGE>

                        CERTIFICATION OF PERIODIC REPORT

I,  Michael  J.  Smith,  certify  that:

1.     I  have  reviewed this quarterly report on Form 10-Q of Cybernet Internet
Services  International,  Inc.  (the  "Registrant");

2.     Based  on my knowledge, this quarterly report does not contain any untrue
statement  of a material fact or omit to state a material fact necessary to make
the  statements  made, in light of the circumstances under which such statements
were  made,  not misleading with respect to the period covered by this quarterly
report;

3.     Based  on  my  knowledge,  the  financial statements, and other financial
information  included  in  this quarterly report, fairly present in all material
respects  the  financial  condition, results of operations and cash flows of the
Registrant  as  of,  and  for,  the  periods presented in this quarterly report;

4.     The  Registrant's  other  certifying  officers  and I are responsible for
establishing  and  maintaining disclosure controls and procedures (as defined in
Exchange  Act  Rules  13a-14  and  15d-14)  for  the  Registrant  and  have:

   a)  designed such disclosure controls and procedures to ensure that material
       information  relating  to  the  Registrant,  including  its consolidated
       subsidiaries, is  made  known  to  us  by  others with  those  entities,
       particularly  during  the period  in  which  this  quarterly  report  is
       being  prepared;

   b)  evaluated  the  effectiveness of the Registrant's disclosure controls and
       procedures  as  of  a  date  within  90  days  prior  to the filing  date
       of this quarterly  report  (the  "Evaluation  Date");  and

   c)  presented  in  this  quarterly  report  our  conclusions  about  the
       effectiveness  of  the  disclosure  controls and procedures based on our
       evaluation as  of  the  Evaluation  Date;

5.     The Registrant's other certifying officers and I have disclosed, based on
our most recent evaluation, to the Registrant's auditors and the audit committee
of  the  Registrant's  board  of directors (or persons performing the equivalent
functions):

   a)  all  significant  deficiencies  in  the  design  or operation of internal
       controls  which  could  adversely  affect  the  Registrant's  ability to
       record,  process,  summarize  and  report  financial  data  and  have
       identified for the Registrant's  auditors  any  material  weaknesses  in
       internal  controls;  and

   b)  any  fraud,  whether  or  not material, that involves management or other
       employees  who  have  a  significant  role  in  the Registrant's internal
       controls; and

6.     The  Registrant's  other certifying officers and I have indicated in this
quarterly  report whether there were significant changes in internal controls or
in other factors that could significantly affect internal controls subsequent to
the  date  of  our most recent evaluation, including any corrective actions with
regard  to  significant  deficiencies  and  material  weaknesses.

Date:     November  29,  2002
                                               /s/  Michael  J.  Smith
                                               ------------------------------
                                               Michael  J.  Smith
                                               Chief  Executive  Officer  and
                                               Chief  Financial  Officer


                                       17

<PAGE>


                                  EXHIBIT 99.1