**U.
      S. Securities and Exchange Commission**


**Washington,
      D. C. 20549**








**FORM
      10-QSB**










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





For
      the
      quarterly period ended **March
      31, 2007**





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


For
      the
      transition period from to





***Commission
      File No****.****000-26913***





**CYBERTEL
      CAPITAL CORP.**


(Exact
      name of Small Business Issuer as specified in its Charter)





**NEVADA**
            **86-0862532**(State
                or Other Jurisdiction of
            (I.R.S.
                Employerincorporation
                or organization)
            Identification
                No.)








4603
      NE
      St Johns Rd Suite B


Vancouver,
      WA 98661





(Address
      of Principal Executive Offices)





Issuer’s
      Telephone Number: (858) 646-7410








Check
      whether the Registrant (1) filed all reports required to be filed by Section
      13
      or 15(d) of the Exchange Act during the past 12 months (or for such shorter
      Period that the issuer was required to file such reports), and (2) has been
      subject to such filing requirements for the past 90 days. Yes [X] No [ ]





Indicate
      by check mark whether the registrant is a shell company (as defined in Rule
      12b-2 of the Exchange Act). Yes [ ] No [X]









**APPLICABLE
      ONLY TO ISSUERS INVOLVED IN BANKRUPTCY**


**PROCEEDINGS
      DURING THE PRECEDING FIVE YEARS**





Check
      whether the Registrant filed all documents and reports required to be filed
      by
      Section 12, 13 or 15(d) of the Exchange Act after the distribution of securities
      under a plan confirmed by a court.




Not
      applicable.





**APPLICABLE
      ONLY TO CORPORATE ISSUERS**





State
      the
      number of shares outstanding of each of the Registrant's classes of common
      stock, as of the latest practicable date: 29,494,288 shares at May 10,
      2007





Transitional
      Small Business Disclosure Format (check one): Yes [ ] No [X]













**PART
      I - FINANCIAL INFORMATION**





**Item
      1. Financial Statements.**





The
      Consolidated Financial Statements of the Registrant required to be filed with
      this Quarterly Report on Form 10Q-SB were prepared by management, and commence
      below, together with related notes. In the opinion of management, the Financial
      Statements fairly present the financial condition of the Registrant for the
      periods then ended.





**CYBERTEL
      CAPITAL CORPORATION**


**CONSOLIDATED
      BALANCE SHEETS**





********March
                31, 2007**
            
            ******December
                31, 2006**ASSETSCurrent
                assetsCash
            
            $
            42,467
            
            
            21,454Accounts
                receivable, net of allowance for doubtfulaccounts
                of $1,713 for both periods
            
            
            111,920
            
            
            29,848Prepaid
                expenses and other current assets
            
            
            3,500
            
            
            3,500Total
                current assets
            
            
            157,887
            
            
            54,802Loans
                receivable
            
            
            40,000
            
            
            --Property
                and equipment, net
            
            
            35,430
            
            
            37,819Customer
                list, net of amortization
            
            
            165,239
            
            
            174,959Goodwill
            
            
            375,081
            
            
            375,081Total
                assets
            
            $
            773,637
            
            $
            642,661LIABILITIES
                AND STOCKHOLDERS' DEFICITCurrent
                liabilitiesAccounts
                payable
            
            $
            177,827
            
            $
            175,604Accrued
                liabilities
            
            
            170,778
            
            
            166,645Derivative
                liability
            
            
            6,425
            
            
            -Notes
                payable
            
            
            56,000
            
            
            5,766Total
                current liabilities
            
            
            411,030
            
            
            348,015Notes
                payable - Related parties
            
            
            278,618
            
            
            294,523Total
                liabilities
            
            
            689,648
            
            
            642,538Commitments
                and contingencies
            
            
            -
            
            
            -Stockholders'
                deficit:Series
                A convertible preferred stock, $.001 par;
            
            
            -
            
            
            -5,000
                shares authorized; 410 and 429 shares, respectivelyissued
                and outstandingSeries
                B voting preferred stock, $.001 par;50,000,000
                shares authorized; 50,000,000shares
                issued and outstanding
            
            
            50,000
            
            
            50,000Series
                C voting preferred stock, $2.00 par;2,200,000
                shares authorized; 500,000shares
                issued and outstanding
            
            
            1,000,000
            
            
            1,000,000Common
                stock, $.00001 par value, 10,100,000,000shares
                authorized, 4,094,288 and 898,759, respectivelyshares
                issued and outstanding
            
            
            41
            
            
            9Additional
                paid in capital
            
            
            22,082,489
            
            
            21,846,497Stock
                subscription receivable
            
            
            (20,543
            )
            
            (20,543
            )Accumulated
                deficit
            
            
            (23,027,998
            )
            
            (22,875,840
            )Total
                stockholders' deficit
            
            
            83,989
            
            
            123Total
                liabilities and stockholders' deficit
            
            $
            773,637
            
            $
            642,661










2


**CYBERTEL
      CAPITAL CORPORATION**


**CONSOLIDATED
      STATEMENTS OF OPERATIONS**


**FOR
      THE THREE MONTHS ENDED MARCH 31,**


**(Unaudited)**


**2007**
            
            **2006**REVENUES
            
            $
            174,147
            
            $
            7,863COST
                OF GOODS SOLD
            
            
            5,432
            
            
            -Gross
                profit (loss)
            
            
            168,715
            
            
            7,863EXPENSESGeneral,
                administrative and selling
            
            
            151,907
            
            
            113,315Stock-based
                compensation expense
            
            
            160,220
            
            
            96,283Bad
                debt recovery
            
            
            -
            
            
            (19
            )Total
                expenses
            
            
            312,127
            
            
            209,579Operating
                loss
            
            
            (143,412
            )
            
            (201,716
            )OTHER
                INCOME (EXPENSE)Other
                income
            
            
            -
            
            
            2,850Loss
                on derivative liability
            
            
            (6,425
            )Interest
                expense
            
            
            (2,317
            )
            
            (3,712
            )Total
                other expense
            
            
            (8,742
            )
            
            (862
            )Net
                (loss)
            
            
            (152,154
            )
            
            (202,578
            )Preferred
                stock dividends
            
            
            (1,938
            )
            
            (6,198
            )Net
                loss attributable to common shareholders
            
            $
            (154,092
            )
            $
            (208,776
            )Basic
                and diluted net loss per sharefrom
                continuing operations
            
            $
            (.04
            )
            $
            (28.49
            )Outstanding
            
            
            3,859,906
            
            
            7,329





3


**CYBERTEL
      CAPITAL CORPORATION**


**CONSOLIDATED
      STATEMENTS OF CASH FLOWS**


**FOR
      THE THREE MONTHS ENDED MARCH 31,**


**(Unaudited)**




2007
            
            2006Net
                income ( loss)
            
            $
            (152,154
            )
            $
            (202,578
            )Adjustments
                to reconcile net loss to net cashused
                in operating activities:Depreciation
                and amortization
            
            
            12,109
            
            
            -Stock
                issued for services
            
            
            160,220
            
            
            93,000Stock
                option expense
            
            
            -
            
            
            3,283Loss
                on derivative liability
            
            
            6,425
            
            
            -Bad
                debt recovery
            
            
            -
            
            
            (19
            )Changes
                in assets and liabilities:Accounts
                receivable
            
            
            (82,072
            )
            
            3,845Accounts
                payable and accrued expenses
            
            
            6,352
            
            
            57,196Net
                cash used in operating activities
            
            
            (49,120
            )
            
            (45,273
            )CASH
                FLOWS FROM FINANCING ACTIVITIESProceeds
                from ESOP shares
            
            
            75,804
            
            
            -Loans
                to related parties
            
            
            (40,000
            )Advances
                from related party
            
            
            -
            
            
            1,418Proceeds
                from notes payable - related parties
            
            
            34,329
            
            
            48,000Net
                cash provided by financing activities
            
            
            70,133
            
            
            49,418NET
                CHANGE IN CASH
            
            
            21,013
            
            
            4,145Cash,
                beginning of period
            
            
            21,454
            
            
            1,186Cash,
                end of period
            
            $
            42,467
            
            $
            5,331Cash
                paid for interest and taxes
            
            $
            2,317
            
            $
            -SUPPLEMENTAL
                DISCLOSURES:Conversion
                of preferred stock to common stock
            
            
            -
            
            
            1,200








4





**CYBERTEL
      CAPITAL CORPORATION**


**NOTES
      TO CONSOLIDATED FINANCIAL STATEMENTS**




**NOTE
      1 - BASIS OF PRESENTATION**





The
      accompanying unaudited interim financial statements of Cybertel Capital
      Corporation ("Cybertel" or the “Company”) have been prepared in accordance with
      accounting principles generally accepted in the United States of America and
      the
      rules of the Securities and Exchange Commission ("SEC"), and should be read
      in
      conjunction with the audited consolidated financial statements and notes thereto
      contained in the Company's Annual Report on Form 10-KSB for the fiscal year
      ended December 31, 2006 filed with the SEC on April 17, 2006. In the opinion
      of
      management, all adjustments, consisting of normal recurring adjustments,
      necessary for a fair presentation of financial position and the results of
      operations for the interim periods presented have been reflected herein. The
      results of operations for the interim period are not necessarily indicative
      of
      the results to be expected for the full fiscal year. Notes to the consolidated
      financial statements which would substantially duplicate the disclosure
      contained in the audited financial statements for 2006 as reported in the 2006
      Form 10-KSB have been omitted.




**NOTE
      2 - NOTES PAYABLE**





During
      the quarter ended March 31, 2007:





Cybertel
      borrowed $50,000 from a related party under a secured convertible promissory
      note dated January 8, 2007. The note is due on April 8, 2007 and has an interest
      rate of 8% compounded annually. Repayment is in the amount of 125% of principal
      and accrued interest. The note is convertible into the $.00001 common stock
      at
      the rate of 50% of the average of the lowest three closing prices in the twenty
      trading days before the conversion.




**NOTE
      3 - COMMON STOCK**





During
      the quarter ended March 31, 2007:





Holders
      of the Company’s Series A preferred stock converted 47.55 shares of Series A
      convertible preferred stock into $1000 worth of common stock (554,928 shares
      of
      common stock), using the market price on the date of conversion.





Cybertel
      issued 2,640,000 shares of common stock for services valued at $160,220.





5
 
 **CYBERTEL
          CAPITAL CORPORATION**
 **NOTES
          TO CONSOLIDATED FINANCIAL STATEMENTS**




**NOTE
      4 - SUBSEQUENT EVENTS**





During
      the period April 1 through May 7, 2007, Cybertel issued 900,000 shares of common
      stock to consultants for services with an approximate value of $19,500. In
      addition, Cybertel issued 10,000,000 shares to an investor relations firm with
      an approximate value of $200,000. Also during this period, 25 shares of Series
      A
      preferred stock were converted into 3,700,000 common shares at conversion prices
      ranging from $0.01 to $.02. During the same period, shares of common stock
      granted under the Company’s Employee Stock Option Plan totaling 7,000,000 shares
      were sold with proceeds ranging from $.01 to $.02 per share.





**NOTE
      5 - CONTINGENCIES**




**Legal
      proceedings**





The
      Company is involved in various unresolved legal actions, administrative
      proceedings and claims in the ordinary course of business. Although it is not
      possible to predict with certainty the outcome of these unresolved actions,
      the
      Company believes these unresolved legal actions will not have a material effect
      on its financial position or results of operation.







**NOTE
      6 - GOING CONCERN**




As
      shown
      in the accompanying financial statements, Cybertel incurred recurring net losses
      from continuing operations of $152,154 and $202,578 for the three months ended
      March 31, 2007 and 2006, respectively, has an accumulated deficit of $23,027,998
      and a working capital deficit of $253,143 as of March 31, 2007. These conditions
      raise substantial doubt as to Cybertel’s ability to continue as a going concern.
      The continued support of Cybertel creditors, lenders and shareholders is
      required in order for Cybertel to continue as a going concern. Management’s
      plans to support Cybertel’s operations include cutting overhead costs, borrowing
      additional funds and raising additional capital. Cybertel’s inability to obtain
      additional capital or obtain such capital on favorable terms could have a
      material adverse effect on its consolidated financial position, results of
      operations and its ability to continue operations. The consolidated financial
      statements do not include any adjustments that might be necessary if Cybertel
      is
      unable to continue as a going concern.







6





**ITEM
      2. MANAGEMENT’S DISCUSSION AND ANALYSIS OR PLAN OF
      OPERATION**.





*Plan
      of Operation*





On
      January 1, 2007, Cybertel entered into a consulting agreement with a Business
      Development and Industry Consultant to render services to Cybertel, including
      assistance with identifying key personnel who can provide Cybertel with
      experience and leadership capabilities in wireless communications, broadband
      technologies, installation and deployment, network management, customer service
      and call center and support services. Additional services to be provided by
      the
      consultant include assistance in identifying, evaluating, structuring,
      negotiating and closing of joint ventures, strategic alliances, business
      acquisitions, and advise with respect to the ongoing managing and operating
      of
      such acquisitions. The term of the consulting agreement is six months with
      an
      automatic extension for an additional three months. The agreement may be
      terminated by either party upon thirty days written notice. The consultant
      will
      be paid $25,000 for the first month of service, and $10,000 per month
      thereafter. Cybertel may provide payment in the form of free-trading shares
      of
      its common stock at up to 200% of the value of the compensation (i.e. free
      trading shares of its common stock valued at $50,000 and $20,000, respectively),
      which would effectively increase monthly compensation to such amounts.





On
      March
      15, 2007, the Company entered into two additional “Consulting Agreements” for
      the provision of management of sales and marketing resources, consulting,
      strategic planning, and review and advice regarding Cybertel’s overall progress,
      needs and condition. Services to be provided include - (a) assisting the Company
      in identifying key personnel who can provide Cybertel with experience and
      leadership capabilities in wireless communications, broadband technologies,
      installation and deployment, network management, customer service, call center
      and support service, (b) assisting in the identification, evaluating,
      structuring, negotiating, and closing of joint ventures, strategic alliances,
      business acquisitions, and advise with regard to the ongoing managing and
      operating of such acquisitions upon consummation, and (C) assistance in
      identifying, negotiating, structuring and evaluating sources for financing,
      leasing, lines of credit and other financial instrument. The term of the
      agreements will be for twelve months, with automatic renewal for an additional
      three months. Either party may terminate the agreement with thirty days prior
      written notice. Each consultant will be paid $25,000 (a total of $50,000) per
      month. Cybertel may provide payment in the form of free-trading shares of its
      common stock at up to 200% of the value of the compensation (i.e. free trading
      shares of its common stock valued at $50,000 and $20,000, respectively), which
      would effectively increase monthly compensation to such amounts. In no event
      shall either consultant be issued a number of shares of common stock which
      would
      result in beneficial ownership by the consultant and its affiliates of more
      than
      9.9% of the outstanding shares of Cybertel.





On
      February 7, 2007, the Company’s stockholders holding a majority of the issued
      and outstanding shares of the Company’s common stock approved an amendment to
      the Company’s Articles of Incorporation effecting a 1000-to-1 reverse stock
      split, whereby each stockholder as of February 23, 2007 would receive one
      share of common stock for every one thousand shares he or she then owned. The
      reverse stock split became effective as of March 15, 2007.





The
      Company was originally organized for the primary purpose of engaging in all
      facets of the business comprising the telecommunications industry and was a
      provider of long distance voice and data telecommunications. At present, its
      main business is as a technology consulting and management firm offering full
      service capabilities in the wireless, telecommunications and broadband business.
      Cybertel works with clients to develop and deploy wireless and fiber broadband
      services for service providers, large and small with its select group of
      consultants, vendor partners and key relationships within the telecommunications
      and venture capital community.





The
      Company provides the following services: Business planning and advisory
      services; Engineering, Furnishing and Installation of WiMAX systems, IP
      infrastructure and IMS applications for service providers; Managed services
      to
      operate and maintain WiMAX networks for our business partners; and Operations
      Support and Customer Care systems to support our partners’ business operations
      integrated with their operating assets in a simplified user
      interface.





Presently,
      the company is actively involved in identifying companies in the
      telecommunications industry for acquisition or strategic partnerships. These
      companies may be providers of long distance service, Voice over Internet
      Protocol providers, consulting companies, prepaid service companies, network
      management operations, or other companies in the telecommunication arena.





7





We
      currently have insufficient funds to operate our business according to our
      proposed business plan. In addition, if unanticipated expenses, problems, and
      difficulties occur which result in material delays in the development of our
      products, we will not be able to operate within our budget. If we do not operate
      within our budget, we will require additional funds to continue our business.
      We
      may not be able to obtain additional financing as needed, on acceptable terms,
      or at all, which would force us to delay our plans for growth and implementation
      of our strategy which could seriously harm our business, financial condition,
      and results of operations. If we need additional funds, we may seek to obtain
      them primarily through stock or debt financings. Those additional financings
      could result in dilution to our stockholders.





*Results
      of Operations*





The
      Company generated a net loss of $152,154 for the quarter ended March 31, 2007,
      and had net loss of $202,578 for the quarter ended March 31, 2006. This decrease
      in net loss was primarily due to lower operational cost. After the preferred
      stock dividend was distributed the net loss attributable to common shareholders
      was $154,092 for the quarter ended March 31, 2007 and was $208,776 for the
      quarter ended March 31, 2006.





Revenues
      for the three-month period ended March 31, 2007 increased to $174,147, from
      $7,863 for the three months ended March 31, 2006. This increase is primarily
      attributable to the increase in business from our subsidiary AireWire,
      Inc.





General,
      administrative and selling costs were $312,127 during the three months ended
      March 31, 2007, as compared to $209,598 for the three-month period ended March
      31, 2006. This increase is primarily due to the hiring of new consultants.





*Liquidity*





The
      Company incurred net losses from operation of $152,154 and $202,578 for the
      three months ended March 31, and 2006, respectively. Our
      management is attempting to raise sufficient additional capital through sales
      of
      stock, but has not done so as of May 10, 2007. These conditions raise
      substantial doubt about Cybertel's ability to continue as a going concern,
      as
      expressed in Note 6 of the financial statements included in this Quarterly
      Report.




*Off-Balance
      Sheet Transactions*




There
      are
      no off-balance sheet transactions.




Item
      3.
      Controls and Procedures.





As
      of the
      end of the period covered by this Quarterly Report, we carried out an
      evaluation, under the supervision and with the participation of our Chief
      Executive Officer, of the effectiveness of our disclosure controls and
      procedures. Based on this evaluation, our Chief Executive Officer concluded
      that
      our disclosure controls and procedures are effective to ensure that the
      information required to be disclosed by the Company in the reports that it
      files
      or submits under the Securities and Exchange Act of 1934, as amended (the
“Exchange Act”) is recorded, processed, summarized and reported, within the time
      periods specified in the SEC’s rules and forms. It should be noted that the
      design of any system of controls is based in part upon certain assumptions
      about
      the likelihood of future events, and there can be no assurance that any design
      will succeed in achieving its stated goals under all potential future
      conditions, regardless of how remote. In addition, we reviewed our internal
      controls over financial reporting, and there have been no changes in our
      internal controls over financial reporting in the last fiscal quarter that
      has
      materially affected or is reasonably likely to materially affect our internal
      control over financial reporting.





8




PART
      II -
      OTHER INFORMATION





Item
      1.
      Legal Proceedings.





Not
      applicable




Item
      2.
      Unregistered Sales of Equity Securities and Use of Proceeds.





The
      following table indicates all sales of unregistered securities by Cybertel
      during the quarterly period ended March 31, 2007:







No. of shares
              ofName of
              Purchaser
            Date
            common stock
            Aggregate
              ConsiderationMajestic
                Safe-T-Prod
            1/08/07
            51,186,825
            Conversion
                of Series A Preferred StockMajestic
                Safe-T-Prod
            1/26/07
            68,997,300
            Conversion
                of Series A Preferred StockEdify
                Capital Corp
            2/05/07
            79,947,100
            Conversion
                of Series A Preferred StockMajestic
                Safe-T-Prod
            2/05/07
            79,947,100
            Conversion
                of Series A Preferred StockMajestic
                Safe-T-Prod
            2/27/07
            82,550,000
            Conversion
                of Series A Preferred StockEdify
                Capital Corp
            3/05/07
            96,300,000
            Conversion
                of Series A Preferred StockMajestic
                Safe-T-Prod
            3/06/07
            96,000,000
            Conversion
                of Series A Preferred Stock





Management
      believes each of the foregoing persons or entities was either an "accredited
      investor," or "sophisticated investor" as defined in Rule 506 of Regulation
      D of
      the SEC. Each such person or entity had access to all material information
      about
      Cybertel prior to the offer, sale or issuance of these "restricted securities."
      Management believes that these shares were exempt from the registration
      requirements of the Securities Act of 1933, as amended, pursuant to Section
      4(2)
      thereof.





9




Item
      3.
      Defaults Upon Senior Securities.





None;
      not
      applicable.





Item
      4.
      Submission of Matters to a Vote of Security Holders.





On
      February 7, 2007, a majority of the holders of the Company’s common stock
      approved a 1000-to-1 reverse stock split of the Company's issued and
      outstanding common stock, effective as of March 15, 2007, whereby each
      holder of the Company's common stock as of February 23, 2007 received one
      share of common stock for each one thousand shares then owned. All resulting
      fractional shares were rounded up to the nearest whole share.





Item
      5.
      Other Information.





None;
      not
      applicable.





Item
      6.
      Exhibits.





Exhibit
              No.
            Description


31.1
            Certification
                of Chief Executive Officer, James A. Wheeler, pursuant to Rules 13a-14(a)
                and 15d-14(a) of the Exchange Act




32.1
            Certification
                of Chief Executive Officer, James A. Wheeler, pursuant to 18 U.S.C.
                Section 1350,as
                adopted pursuant to Section 906 of the Sarbanes-Oxley Act of
                2002.





10





SIGNATURES





In
      accordance with the requirements of the Exchange Act, the registrant caused
      this
      report to be signed on its behalf by the undersigned, thereunto duly authorized.





CYBERTEL
              CAPITAL
              CORP.Date: May
              14,
              2007
            By:
            /s/ James
              A.
              WheelerJames
              A. Wheeler, CEO, President and Director


11