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 Fiscal Quarter Ended September 30, 2000

                                       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 number: 0-26620

                                   ACCOM, INC.
             (Exact name of registrant as specified in its charter)

            Delaware                                            94-3055907
 (State or other jurisdiction of                               (IRS Employer
 incorporation or organization)                           Identification Number)


                               1490 O'Brien Drive
                          Menlo Park, California 94025
                    (Address of principal executive offices)

               Registrant's telephone number, including area code:
                                 (650) 328-3818

    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 at least the past 90 days.

         Yes                                                        No   X
              ---                                                       ---


As of November 3, 2000,  10,198,277  shares of the  Registrant's  common  stock,
$0.001 par value, were outstanding.


<PAGE>


                                   ACCOM, INC.

               FORM 10-Q For the Quarter Ended September 30, 2000
<TABLE>
                                      INDEX
<CAPTION>
                                                                                       Page
<S>            <C>                                                                      <C>
               Facing sheet                                                              1

               Index                                                                     2

Part I.        Financial Information (unaudited)

Item 1.        a)  Condensed  consolidated interim balance sheets at September
                   30, 2000 and December 31,1999                                         3

               b)  Condensed consolidated interim statements of operations for
                   the three and nine month periods ended September 30, 2000
                   and September 30, 1999                                                4


               c)  Condensed consolidated interim statements of cash flows for
                   the nine month periods ended September 30, 2000 and September
                   30, 1999                                                              5


               d)  Notes to condensed consolidated interim financial statements          6

Item 2.        Management's Discussion and  Analysis of Financial Condition  and
               Results of Operations                                                    10

Item 3         Quantitative and Qualitative Disclosures About Market Risks              16

Part II.       Other Information                                                        17

Item 1         Legal Proceedings                                                        17

Item 2         Changes in Securities and Use of Proceeds                                17

Item 3         Defaults Upon Senior Securities                                          17

Item 4         Submission of Matters to a Vote of Security Holders                      17

Item 5         Other Information                                                        17

Item 6         Exhibits and Reports on Form 8-K                                         17

               Signature                                                                18
</TABLE>


                                      -2-
<PAGE>


                          PART I. FINANCIAL INFORMATION

Item 1.  Financial Statements
<TABLE>
                                   ACCOM, INC.
                  CONDENSED CONSOLIDATED INTERIM BALANCE SHEETS
                      (In thousands, except per share data)
<CAPTION>
                                                                          As of
                                                                        -----------
                                                                  September 30, December 31,
                                                                      2000          1999
                                                                    --------      --------
                                                                  (Unaudited)      (Note)
<S>                                                                 <C>           <C>
                                    Assets
Current assets:
     Cash and cash equivalents                                      $  1,508      $    328
     Accounts receivable, net                                          3,420         1,616
     Inventories                                                       4,863         5,112
     Other current assets                                                596           580
                                                                    --------      --------
         Total current assets                                         10,387         7,636
Property and equipment, net                                            1,607         2,343
Intangibles, net                                                       1,684         1,986
Restricted cash                                                        1,489          --
Other assets                                                              74            70
                                                                    --------      --------
         Total assets                                               $ 15,241      $ 12,035
                                                                    ========      ========

                     Liabilities and Stockholders' Equity
Current liabilities:
     Bank borrowings - line of credit                               $   --        $    559
     Current portion of notes payable                                    708         1,315
     Accounts  payable                                                 3,801         2,560
     Accrued liabilities                                               2,477         2,037
     Customer deposits                                                   845           965
                                                                    --------      --------
         Total current liabilities                                     7,831         7,436
Long-term portion of notes payable                                     3,304         3,261
Stockholders' equity:
     Common stock, $0.001 par value; 40,000 shares authorized;
       10,196 and 10,133 shares issued and outstanding on
       September 30, 2000 and December 31, 1999, respectively         24,251        24,201
     Notes receivable from stockholders                                 (500)         (630)
     Accumulated deficit                                             (19,645)      (22,233)
                                                                    --------      --------
         Total stockholders' equity                                    4,106         1,338
                                                                    --------      --------

         Total liabilities and stockholders' equity                 $ 15,241      $ 12,035
                                                                    ========      ========
<FN>
Note:    The condensed consolidated balance sheet at December 31, 1999, has been
         derived from the audited annual consolidated balance sheet at that date
         but does not include all of the information  and footnotes  required by
         generally accepted  accounting  principles for a complete  consolidated
         balance sheet.

         The  accompanying  notes  are  an  integral  part  of  these  condensed
         consolidated interim financial statements.
</FN>
</TABLE>


                                      -3-
<PAGE>


<TABLE>
                                   ACCOM, INC.
             CONDENSED CONSOLIDATED INTERIM STATEMENTS OF OPERATIONS
                      (In thousands, except per share data)
                                   (Unaudited)
<CAPTION>
                                                 Three Months Ended          Nine Months Ended
                                               ----------------------      ----------------------
                                                    September 30,              September 30,
                                               ----------------------      ----------------------
                                                 2000          1999          2000         1999
                                               --------      --------      --------      --------
<S>                                            <C>           <C>           <C>           <C>
Net sales                                      $  8,786      $  8,768      $ 25,261      $ 26,654
Cost of sales                                     4,043         4,233        11,562        12,162
                                               --------      --------      --------      --------
Gross profit                                      4,743         4,535        13,699        14,492
                                               --------      --------      --------      --------
Operating expenses:
     Research and development                     1,673         1,959         4,951         5,740
     Marketing and sales                          2,343         2,465         6,679         6,904
     General and administrative                     691           783         2,200         2,430
                                               --------      --------      --------      --------
Total operating expenses                          4,707         5,207        13,830        15,074
                                               --------      --------      --------      --------
Operating income (loss)                              36          (672)         (131)         (582)
      Interest and other income
       (expenses), net                              (50)         (141)         (102)         (314)
      Sale of ELSET product line                   --            --           2,888          --
                                               --------      --------      --------      --------
Income before provision for
     income taxes                                   (14)         (813)        2,655          (896)
Provision for income taxes                           (3)         --             (46)           (2)
                                               --------      --------      --------      --------
Net income (loss)                              $    (17)     $   (813)     $  2,609      $   (898)
                                               ========      ========      ========      ========
Net income (loss) per share - basic            $  (0.00)     $  (0.08)     $   0.26      $  (0.09)
                                               ========      ========      ========      ========
Net income (loss) per share - diluted          $  (0.00)     $  (0.08)     $   0.21      $  (0.09)
                                               ========      ========      ========      ========
Shares used in computation of net
     income (loss) per share - basic             10,196        10,123        10,174        10,123
                                               ========      ========      ========      ========
Shares used in computation of net
     income (loss) per share - diluted           10,196        10,123        13,575        10,123
                                               ========      ========      ========      ========
<FN>
The accompanying notes are an integral part of these condensed consolidated interim financial statements.
</FN>
</TABLE>


                                                -4-
<PAGE>

<TABLE>
                                   ACCOM, INC.
             CONDENSED CONSOLIDATED INTERIM STATEMENTS OF CASH FLOWS
                                 (In thousands)
                                   (Unaudited)
<CAPTION>
                                                                                       Nine Months Ended
                                                                                     --------------------
                                                                                         September 30,
                                                                                     --------------------
                                                                                      2000         1999
                                                                                     -------      -------
<S>                                                                                  <C>          <C>
Cash flows from operating activities:

Net income (loss)                                                                    $ 2,609      $  (898)
Adjustments to reconcile net income (loss) to net cash provided by (used in)
operating activities:
     Depreciation and amortization                                                       720        1,190
     Gain on sale of ELSET product line                                               (2,888)        --
     Changes in operating assets and liabilities,  net of the effect of the
     sale of the ELSET product line:

         Accounts receivable                                                          (1,804)         (28)
         Inventories                                                                     780          760
         Other current assets                                                            (16)        (641)
         Other assets                                                                     (4)           7
         Accounts payable                                                              1,241        1,190
         Accrued liabilities                                                             (59)        (725)
         Customer deposits                                                              (120)        (268)
                                                                                     -------      -------
           Net cash provided by operating activities                                     459          587
                                                                                     -------      -------

Cash flows from investing activities:

Expenditures for property and equipment                                                 (292)        (416)
Proceeds from disposal of property and equipment, net of the effect of the sale
     of the ELSET product line                                                           (29)         570
                                                                                     -------      -------
           Net cash provided by (used in) investing activities                          (321)         154
                                                                                     -------      -------

Cash flows from financing activities:

Borrowings and payments on line of credit, net                                          (559)      (3,916)
Repayment of notes payable                                                              (607)        (750)
Proceeds from long-term notes                                                             43        3,310
Issuance of common stock                                                                  50         --
Restricted cash                                                                       (1,489)       1,132
Repayment of notes receivable from stockholders                                          130         --
Net proceeds from sale of ELSET product line                                           3,474         --
                                                                                     -------      -------
           Net cash provided by (used in) financing activities                         1,042         (224)
                                                                                     -------      -------

Net increase in cash and cash equivalents                                              1,180          517
Cash and cash equivalents at beginning of period                                         328         --
                                                                                     -------      -------
           Cash and cash equivalents at end of period                                $ 1,508      $   517
                                                                                     =======      =======

Supplemental disclosure of cash flow information

Noncash investing activity:

Customer service inventory decrease                                                  $   531      $   --
                                                                                     =======      =======

<FN>
     The accompanying notes are an integral part of these condensed consolidated interim financial statements
</FN>
</TABLE>


                                                -5-
<PAGE>



          NOTES TO CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS
                                   (Unaudited)

Note 1.  Basis of Preparation

         The condensed  consolidated  interim  balance sheet as of September 30,
2000, the condensed  consolidated interim statements of operations for the three
and nine month periods ended  September 30, 2000 and September 30, 1999, and the
condensed  consolidated  interim  statements  of cash  flows for the nine  month
periods ended  September 30, 2000 and September 30, 1999,  have been prepared by
the Company and are  unaudited.  In the opinion of management,  all  adjustments
(consisting  of normal  accruals)  necessary  to present  fairly  the  financial
position as of September 30, 2000,  and the results of operations and cash flows
for all periods presented have been made.

         These condensed  consolidated  interim  financial  statements should be
reviewed  in  conjunction  with  the  audited   consolidated   annual  financial
statements  and notes thereto  included in the  Company's  Annual Report on Form
10-K for the year ended  December 31, 1999.  The results of  operations  for the
three and nine month  periods  ended  September  30, 2000,  are not  necessarily
indicative of the operating results for any future period.

Note 2.  Revenue Recognition

         Revenue from sales of products is recognized when  persuasive  evidence
of an  arrangement  exists  including a fixed price to the buyer,  delivery  has
occurred  and  collectibility  is  reasonably  assured.  In December  1999,  the
Securities and Exchange  Commission  issued Staff  Accounting  Bulletin No. 101,
"Revenue  Recognition  in Financial  Statements"  ("SAB 101").  SAB 101 provides
guidance on the recognition, presentation and disclosure of revenue in financial
statements.  The Company is  required to adopt SAB 101 in the fourth  quarter of
fiscal 2000.  The Company  believes that the adoption of this statement will not
have a material impact on its financial statements.

Note 3.  Comprehensive Income

         Comprehensive  income  is equal to net  income  for the  three and nine
month periods ended September 30, 2000 and 1999.

Note 4.  Inventories

         Inventories consist of the following (in thousands):

                                              September 30,  December 31,

                                                  2000          1999
                                                 ------        ------

Purchased parts and materials                    $  737        $1,656
Work-in-process                                   2,088         1,634
Finished goods                                      165           369
Demonstration inventory                           1,873         1,453
                                                 ------        ------
                                                 $4,863        $5,112
                                                 ======        ======

Note 5.  Debt

         The Company has a revolving line of credit  ("line") with The Provident
Bank  ("Provident")  that allows for borrowings subject to the level of eligible
accounts  receivable.  Borrowings  are limited to a maximum of $1.5 million as a
result of the Company's failure to meet certain financial  covenants as of April
30, 2000.  On August 11,  2000,  Provident  and the Company  agreed to amend the
original


                                      -6-
<PAGE>


agreement which established the line of credit.  The amendment  provides for the
following changes to the terms of the line of credit: (a) the interest
rate charged on  borrowings  under the line is equal to  Provident's  prime rate
plus 225 basis points,  an increase of 100 basis points from the original  rate;
(b) the maturity date of all borrowings  under the line is changed from March 1,
2003 to  June  30,  2001;  and  (c)  certain  financial  covenants  are  amended
retroactive to April 30, 2000. With the change in covenants,  the Company was in
compliance with the covenants as of June 30, 2000.

         As of September 30, 2000, the Company had  availability of $1.5 million
under  the line.  In  addition,  the  Company  had $1.3  million  invested  with
Provident in the form of deposits remitted to Provident in excess of outstanding
borrowings.  There  were  no  outstanding  borrowings  at  September  30,  2000.
Borrowings  under  the  line  are  secured  by all the  assets  of the  Company.
Borrowings  under the line are  subject to  compliance  with  certain  financial
covenants.  As of September 30, 2000,  the Company was not in compliance  with a
certain  financial  covenant.  Provident  issued a waiver on October  26,  2000,
remedying the violation of this  covenant.  This waiver related to the September
30, 2000, covenant violation and not beyond.

         On March 12, 1999,  the Company  completed a private  placement of $3.5
million in senior  subordinated  convertible notes with a group of investors led
by the American  Bankers'  Insurance Group, Inc.  ("ABIG").  The notes currently
have a coupon rate of 8% per year, mature in the year 2004, and are convertible,
at any time,  into shares of Accom  common  stock at a price of $1.30 per share.
The proceeds from these notes were used to repay the balance then outstanding on
a line of credit with LaSalle  Business  Credit,  Inc.  that was in place at the
time the proceeds were received.

         The agreement  between the Company and ABIG  specifies that the Company
meet  certain  financial  covenants.  ABIG has the  right to  declare  the notes
immediately  due if the  covenants  are not met. As of September  30, 2000,  the
Company was not in  compliance  with the  covenants.  On October 25, 2000,  ABIG
issued a waiver for non-compliance as of September 30, 2000. This waiver related
to the September 30, 2000,  covenant  violation and not beyond. In addition,  on
November 3, 1999, and February 10, 2000, ABIG amended and issued certain waivers
to the  original  agreement  and on April 18,  2000 and July 19,  2000,  granted
waivers for non-compliance.

         In conjunction with the sale of convertible  notes, the Company and the
investors  entered into an  Investors  Rights  Agreement.  The  Investors  Right
Agreement grants the investors,  among other things, certain rights with respect
to the common stock of the Company issuable upon conversion of the notes.

         The Company has a subordinated  promissory  note of $750,000  issued to
Scitex Digital Video, Inc. ("SDV") as partial  consideration for the purchase of
certain assets and liabilities and the business of SDV in December 1998. Payment
of the  note was due in  April  2000.  Principal  was to be paid  together  with
interest in arrears on the unpaid principal  balance at a variable rate equal to
the Merrill Lynch Money Market Rate. In April 2000, the Company paid SDV $89,000
as settlement of the note. The remaining  balance due,  approximately  $710,000,
was retained by the Company for settlement of indemnification claims relating to
the  purchase  of  SDV  which  were  identified  in  the  period  following  the
acquisition.  The remaining  funds are held in a bank account  controlled by the
Company. SDV and the Company are negotiating settlement of the Company's claims.

         A second note in the amount of $1,315,000  was issued to Scitex Digital
Video,  Inc. as partial  consideration  for the  purchase of certain  assets and
liabilities  and the business of SDV in December 1998. In 1999, the Company made
payments of  $700,000  against the  principal  of this note.  During the quarter
ended March 31, 2000, the Company paid off this note by issuing  payments to SDV
of  $587,000,  consisting  of $565,000 in payments of  principal  and $22,000 in
payments of interest


                                      -7-
<PAGE>


Note 6.  Net Income (Loss) Per Share
<TABLE>
         The following table sets forth the computation of basic and diluted net
income (loss) per share (in thousands, except for per share amounts):
<CAPTION>
                                                                               For the Three Months       For The Nine Months
                                                                              ----------------------      ---------------------
                                                                                Ended September 30,        Ended September 30,
                                                                              ----------------------      ---------------------
                                                                                2000          1999          2000         1999
                                                                              --------      --------      --------     --------
<S>                                                                           <C>           <C>           <C>          <C>
Numerator

Numerator for basic net income (loss) per share-net income (loss)             $    (17)     $   (813)     $  2,609     $   (898)
Effect of dilutive securities:
           8% convertible notes                                                   --            --             248     $   --
                                                                              --------      --------      --------     --------
Numerator for diluted net income (loss) per share-income available to
   stockholders after assumed conversions                                     $    (17)     $   (813)     $  2,857     $   (898)

Denominator

Denominator for basic net income (loss) per share-weighted average shares       10,196        10,123        10,174       10,123
Effect of dilutive securities:
           Employee stock options                                                 --            --             651         --
           Warrants                                                               --            --              58         --
           8% convertible notes                                                   --            --           2,692         --
                                                                              --------      --------      --------     --------
Denominator for diluted net income (loss) per share-weighted average
   shares and assumed conversions                                               10,196        10,123        13,575       10,123

Basic net income (loss) per share                                             $  (0.00)     $  (0.08)     $   0.26        (0.09)
                                                                              ========      ========      ========     ========
Diluted net income (loss) per share                                           $  (0.00)     $  (0.08)     $   0.21     $  (0.09)
                                                                              ========      ========      ========     ========
</TABLE>
<TABLE>
         The net income per share on a diluted  basis for the nine months  ended
September  30,  2000,  is based upon an  adjusted  calculation  of the number of
shares to be issued in  connection  with the  Company's  8% senior  subordinated
convertible  notes issued in March 1999. The calculation of net income per share
on a diluted  basis for the three months  ended March 31, 2000,  and for the six
months ended June 30, 2000 has been adjusted.  The following  table compares the
net income per share  calculation as previously  reported  ("Previous")  for the
three months  ended March 31,  2000,  and for the six months ended June 30, 2000
and the net income  per share  calculation  using the  adjusted  calculation  of
shares  as  reported  for the nine  months  ending  September  30,  2000,  above
("Current") (All numbers in thousands, except for per share amounts):
<CAPTION>
                                                                            For the Three Months    For The Six Months
                                                                            --------------------    -------------------
                                                                            Ended March 31, 2000    Ended June 30, 2000
                                                                            --------------------    -------------------
                                                                             Previous     Current    Previous    Current
                                                                             --------     -------    --------    -------
<S>                                                                          <C>         <C>         <C>         <C>
Numerator
Numerator for basic net income per share-net income                          $ 2,724     $ 2,724     $ 2,626     $ 2,626

Effect of dilutive securities:
           8% convertible notes                                                   83          83         165         165
                                                                             -------     -------     -------     -------
Numerator for diluted net income per share-income available to
   stockholders after assumed conversions                                    $ 2,807     $ 2,807     $ 2,791     $ 2,791

Denominator

Denominator for basic net income per share-weighted average shares            10,136      10,136      10,163      10,163
Effect of dilutive securities:
           Employee stock options                                                749         749         867         867
           Warrants                                                               72          72          91          91
           8% convertible notes                                                  199       2,692         468       2,692
                                                                             -------     -------     -------     -------
Denominator for diluted net income per share-weighted average shares and
   assumed conversions                                                        11,156      13,649      11,589      13,813

Basic net income per share                                                   $  0.27     $  0.27     $  0.26     $  0.26
                                                                             =======     =======     =======     =======
Diluted net income per share                                                 $  0.25     $  0.21     $  0.24     $  0.20
                                                                             =======     =======     =======     =======
</TABLE>


                                                           -8-
<PAGE>


Note 7.  Segment Information

         Management  has organized  the business into three market  sub-segments
under one industry  segment which includes  activities  relating to development,
manufacturing  and marketing of digital  video  equipment.  The chief  operating
decision maker relies primarily on revenue to assess market segment performance.
The following table presents revenue by market (in thousands):

                           For the Three Months          For the Nine Months
                          ----------------------        ----------------------
                                  Ended                         Ended
                                  -----                         -----
                               September 30,                 September 30,
                          ----------------------        ----------------------
         Market             2000          1999           2000           1999
     ---------------      -------        -------        -------        -------

     Post-Production      $ 4,048        $ 4,522        $13,072        $16,135
     Distribution           3,654          2,897          9,058          7,100
     Other                  1,084          1,349          3,131          3,419
                          -------        -------        -------        -------
                          $ 8,786        $ 8,768        $25,261        $26,654
                          =======        =======        =======        =======

         Substantially all of the Company's assets are in the United States. All
sales to external customers are accepted and approved in the United States.

Note 8.  Recent Accounting Pronouncements

         In June 1998, the Financial  Accounting Standards Board ("FASB") issued
statement of Financial  Accounting Standards No. 133, "Accounting for Derivative
Financial  Instruments and for Hedging Activities" ("SFAS 133") which provides a
comprehensive  and consistent  standard for the  recognition  and measurement of
derivatives  and  hedging  activities.  In  June  1999,  FASB  issued  Financial
Accounting  Standards No. 137 which  deferred the effective  date of SFAS 133 to
fiscal  years  beginning  after June 15,  2000.  The adoption of SFAS 133 is not
anticipated  to have  an  impact  on the  Company's  results  of  operations  or
financial condition as the Company holds no derivative financial instruments and
does not currently engage in hedging activities.

         In March  2000,  the  FASB  issued  Interpretation  No.  44  ("FIN44"),
"Accounting   for   Certain   Transactions   Involving   Stock   Compensation-An
Interpretation of APB 25." This  Interpretation  clarifies (a) the definition of
employee for purposes of applying  Opinion 25, (b) the criteria for  determining
whether  a  plan  qualifies  as  a  noncompensatory  plan,  (c)  the  accounting
consequences of various  modifications  to the terms of a previously fixed stock
option or award,  and (d) the accounting  for an exchange of stock  compensation
awards in a business combination. This Interpretation is effective July 1, 2000,
but certain conclusions in this Interpretation  cover specific events that occur
after either  December 15,  1998,  or January 12, 2000.  To the extent that this
Interpretation  covers  events  occurring  during the period after  December 15,
1998, or January 12, 2000,  but before the effective  date of July 1, 2000,  the
effects of applying this  Interpretation  are recognized on a prospective  basis
from July 1, 2000. The adoption of FIN 44 does not have a material impact on the
Company's financial statements.


                                      -9-
<PAGE>


Item 2.  Management's Discussion and Analysis of Financial Condition and Results
         of Operations

         The  following  Management's   Discussion  and  Analysis  of  Financial
Condition  and  Results of  Operations  should be read in  conjunction  with the
Company's Consolidated Financial Statements as of December 31, 1999 and 1998 and
September  30, 1998 and 1997 and for the twelve  months ended  December 31, 1999
and 1998, the three months ended December 31, 1999 and 1998 and the fiscal years
ended September 30, 1998 and 1997 included in its Annual Report on Form 10-K for
the year ended December 31, 1999.

         Additionally,  the following  Management's  Discussion  and Analysis of
Financial Condition and Results of Operations  contains certain  forward-looking
statements.  The  Company  desires  to  take  advantage  of  the  "safe  harbor"
provisions   of  the  Private   Securities   Litigation   Reform  Act  of  1995.
Specifically,  the Company wishes to alert readers that the factors set forth in
the Company's  Annual Report on Form 10-K for the year ended  December 31, 1999,
under  the  sections  in  Item  1  entitled   "Manufacturing   and   Suppliers,"
"Competition,"  "Proprietary  Rights and Licenses" and "Additional  Factors That
May Affect  Future  Results,"  as well as other  factors,  could  affect  future
results and have  affected the  Company's  actual  results in the past and could
cause the  Company's  results for future years or quarters to differ  materially
from those expressed in any  forward-looking  statements made by or on behalf of
the Company, including without limitation,  those contained in this 10-Q report.
Forward-looking  statements can be identified by  forward-looking  words such as
"may," "will," "expect," "anticipate,"  "believe," "estimate," and "continue" or
similar words.

Overview

         Accom  designs,  manufactures,  sells,  and supports a complete line of
digital video signal processing,  editing,  and disk recording tools,  primarily
for the worldwide  professional  video post-  production,  live broadcasting and
computer video post-production marketplaces.  The Company's systems are designed
to be used by video  professionals  to create,  edit and broadcast  high quality
video  content such as television  shows,  commercials,  news,  music videos and
video games.
<TABLE>
         The following table  summarizes the Company's  products and the primary
marketplaces they address:
<CAPTION>
  -----------------------------------------------------------------------------------------------------------------
                     MARKETS / Product                               Primary Applications
  -----------------------------------------------------------------------------------------------------------------
<S>                                                         <C>
  POST-PRODUCTION:
  -----------------------------------------------------------------------------------------------------------------
    Digital Signal Processors
  -----------------------------------------------------------------------------------------------------------------
       8150 Digital                                         Digital switcher for on-line post-production editing
       Switcher                                             for commercials and long form television programs
  -----------------------------------------------------------------------------------------------------------------
    Digital Editors
  -----------------------------------------------------------------------------------------------------------------
       Axial(R)3000                                         Edit controller for on-line post-production editing
                                                            for commercials and long form television programs
  -----------------------------------------------------------------------------------------------------------------
       Sphere(TM)                                           Integrated non-linear editing workstation for long
                                                            and short form programs and commercials using
                                                            compressed video
  -----------------------------------------------------------------------------------------------------------------
       AFFINITY(TM)                                         Integrated non-linear workstation for long and short
                                                            form programs and commercials using multiple streams
                                                            of uncompressed video
  -----------------------------------------------------------------------------------------------------------------
   Video Digital Disk Recorders
  -----------------------------------------------------------------------------------------------------------------
       APR(TM)/Attache                                      On-line post-production editing and effects and
                                                            on-air playback of graphics for broadcast
  -----------------------------------------------------------------------------------------------------------------
       WSD(R)2Xtreme                                        Desktop computer graphics and animation production
  -----------------------------------------------------------------------------------------------------------------
  DISTRIBUTION:
  -----------------------------------------------------------------------------------------------------------------
    Digital Signal Processors
  -----------------------------------------------------------------------------------------------------------------
       Dveous(TM)and Brutus                                 Digital Video Effects systems for news and sports
  -----------------------------------------------------------------------------------------------------------------
       Axess(TM)                                            Creation and broadcast distribution of news graphics
                                                            and
                                                            short video segments
  -----------------------------------------------------------------------------------------------------------------
       Abekas(R)6000                                        Multi-user digital video server for broadcast
                                                            applications
  -----------------------------------------------------------------------------------------------------------------
</TABLE>


                                      -10-
<PAGE>


         The Company's  revenues are currently  derived  primarily  from product
sales.  Additional  revenues are derived  primarily from customer service sales.
Customer service revenues are represented herein in the "Other" market.

         The Company's gross margin has historically  fluctuated from quarter to
quarter.  Gross  margins  are  dependent  on the mix of higher and  lower-priced
products  having  various gross margin  percentages  and the percentage of sales
made through direct and indirect distribution channels.

Results of Operations

Three Months Ended September 30, 2000 and September 30, 1999
<TABLE>
         The  following  table  presents the  Company's  Condensed  Consolidated
Interim  Statements of Operations for the three months ended  September 30, 2000
and 1999 as reported (dollar amounts in thousands):
<CAPTION>
                                                   Three Months Ended
                                                   ------------------
                                                       September 30,     Increase (Decrease)
                                                       -------------     ------------------
                                                     2000        1999     Amount      Percent
                                                  ----------- ---------- ---------- ------------
<S>                                               <C>        <C>        <C>           <C>
Net sales                                         $ 8,786    $  8,768   $     18         0.2 %
Cost of sales                                       4,043       4,233       (190)       (4.5)%
                                                  ----------- ---------- ---------- ------------
Gross profit                                        4,743       4,535        208         4.6 %
Operating expenses:
  Research and development                          1,673       1,959       (286)      (14.6)%
  Marketing and sales                               2,343       2,465       (122)       (4.9)%
  General and administrative                          691         783        (92)      (11.7)%
                                                  ----------- ---------- ---------- ------------
Total operating expenses                            4,707       5,207       (500)       (9.6)%
                                                  ----------- ---------- ---------- ------------
Operating income (loss)                                36        (672)       708       105.4 %
Interest and other income (expenses), net             (50)       (141)        91        64.5 %
                                                  ----------- ---------- ---------- ------------
Loss before provision for income taxes                (14)       (813)       799        98.3 %
Provision for income taxes                             (3)          -         (3)        N/A
                                                  ----------- ---------- ---------- ------------
Net loss                                          $   (17)      $(813)   $   796        97.9 %
                                                  =========== ========== ========== ============
</TABLE>


         The  following  table  presents the  Company's  Condensed  Consolidated
Interim  Statements of Operations for the three months ended  September 30, 2000
and 1999, as a percentage of net sales, as reported:

                                              Three Months Ended
                                              ------------------
                                                 September 30,         Increase
                                                 -------------         --------
                                             2000            1999     (Decrease)
                                             ----            ----     ----------

Net sales                                   100.0%         100.0 %          -  %
Cost of sales                                46.0%          48.3 %        (2.3)%
                                           -------         ------      --------
Gross margin                                 54.0 %         51.7 %         2.3 %
Operating expenses:
  Research and development                   19.0 %         22.4 %        (3.4)%
  Marketing and sales                        26.7 %         28.1 %        (1.4)%
  General and administrative                  7.9 %          8.9 %        (1.0)%
                                           -------         ------      --------
Total operating expenses                     59.4 %         53.6 %        (5.8)%
                                           -------         ------      --------
Operating income (loss)                       0.4 %         (7.7)%         8.1 %
Interest and other income (expenses), net    (0.6)%         (1.6)%         1.0 %
                                           -------         ------      --------
Income before provision for income taxes     (0.2)%         (9.3)%         9.1 %
Provision for income taxes                      - %           -  %          -  %
                                           -------         ------      --------
Net loss                                     (0.2)%         (9.3)%         9.1 %
                                           =======         ======      ========

         Net sales.  Net sales during the three months ended September 30, 2000,
were unchanged from levels for the same period in 1999.  Increased  sales in the
distribution  marketplace were offset by


                                      -11-
<PAGE>


decreased  sales  in the  post-production  marketplace  and  decreased  customer
service revenues.  Sales to countries outside North America for the three months
ended  September  30, 2000 and 1999,  represented  31.5% and 32.5% of net sales,
respectively.

         The  following  table  presents net sales  dollar  volume for the three
months ended  September 30, 2000 and 1999, by market and related  percentages of
total net sales (dollar amounts in thousands):

                                     Three Months Ended
                                     ------------------
                                        September 30,
                                        -------------
                                2000                             1999
                                ----                             ----
    Marketplace         Amount        Percent             Amount        Percent
    -----------         ------        -------             ------        -------
Post-Production     $    4,048          46.1%         $    4,522           51.6%
Distribution             3,654          41.6%              2,897           33.0%
Other                    1,084          12.3%              1,349           15.4%
                    --------------------------       ---------------------------
                    $    8,786         100.0%         $    8,768          100.0%
                    ==========================       ===========================

         Cost of sales.  Cost of sales, as a percentage of sales,  decreased for
the three months  ended  September  30,  2000,  from levels for the three months
ended  September 30, 1999, as a result  primarily of improved  profit margins in
the nonlinear editor product line.

         Research and  development.  Research and  development  expenses for the
three months ended September 30, 2000, decreased over levels for the same period
in 1999 primarily due to the decrease in headcount  which resulted from the sale
of the  ELSET  virtual  set  product  line in  January  2000 and a  decrease  in
consultant expenses.

         Marketing and sales.  Marketing and sales expenses for the three months
ended  September  30,  2000,  decreased  over levels for the three  months ended
September 30, 1999, primarily due to decreases in headcount and related overhead
expenses.

         General  and  administrative.   General  and  administrative   expenses
decreased  for the three months ended  September  30, 2000,  from levels for the
same period in 1999 primarily due to a reduction in the provision for bad debt.

         Interest and other income, net. Interest and other income, net, for the
three  months ended  September  30,  2000,  increased  over levels for the three
months  ended  September  30, 1999,  due to an increase in interest  income from
interest-bearing  cash accounts and a note due from an officer and a decrease in
interest expense resulting from reduced levels of debt.

         Provision  for income taxes.  For the three months ended  September 30,
2000,  the provision for income taxes  consists of tax expense  calculated at an
effective  rate lower than the statutory  rate of 35% due to  realization of net
operating losses to be carried forward. For the three months ended September 30,
1999,  the Company had an effective  rate of 0%  reflecting  the  Company's  net
operating losses to be carried forward.


                                      -12-
<PAGE>


Results of Operations

Nine Months Ended September 30, 2000 and September 30, 1999
<TABLE>
         The  following  table  presents the  Company's  Condensed  Consolidated
Interim  Statements of Operations  for the nine months ended  September 30, 2000
and 1999 as reported (dollar amounts in thousands):
<CAPTION>
                                                     Nine Months Ended
                                                       September 30,                 Increase (Decrease)
                                                 -------------------------         ------------------------
                                                   2000             1999            Amount          Percent
                                                 --------         --------         --------         -------
<S>                                              <C>              <C>              <C>              <C>
Net sales                                        $ 25,261         $ 26,654         $ (1,393)         (5.2)%
Cost of sales                                      11,562           12,162             (600)         (4.9)%
                                                 --------         --------         --------         -------
Gross profit                                       13,699           14,492             (793)         (5.5)%
Operating expenses:
  Research and development                          4,951            5,740             (789)        (13.7)%
  Marketing and sales                               6,679            6,904             (225)         (3.3)%
  General and administrative                        2,200            2,430             (230)         (9.5)%
                                                 --------         --------         --------         -------
Total operating expenses                           13,830           15,074           (1,244)         (8.3)%
                                                 --------         --------         --------         -------
Operating loss                                       (131)            (582)             451          77.5 %
Interest and other income (expenses), net            (102)            (314)             212          67.5 %
Sale of ELSET product line                          2,888             --              2,888            N/A
                                                 --------         --------         --------         -------
Income before provision for income taxes            2,655             (896)           3,551         396.3 %
Provision for income taxes                            (46)              (2)             (44)     (2,200.0)%
                                                 --------         --------         --------         -------
Net income (loss)                                $  2,609         $   (898)        $  3,507         390.5 %
                                                 ========         ========         ========         =======
</TABLE>

         The  following  table  presents the  Company's  Condensed  Consolidated
Interim  Statements of Operations  for the nine months ended  September 30, 2000
and 1999, as a percentage of net sales, as reported:

                                                Nine Months Ended
                                             -----------------------
                                                   September 30,      Increase
                                             -----------------------  --------
                                                  2000       1999    (Decrease)
                                             ------------  ---------  --------
Net sales                                       100.0 %     100.0 %       -  %
Cost of sales                                    45.8 %      45.6 %      0.2 %
                                             ------------  ---------  --------
Gross margin                                     54.2 %      54.4 %     (0.2)%
Operating expenses:
  Research and development                       19.6 %      21.6 %     (2.0)%
  Marketing and sales                            26.4 %      25.9 %      0.5 %
  General and administrative                      8.7 %       9.1 %     (0.4)%
                                             ------------  ---------  --------
Total operating expenses                         54.7 %      56.6 %     (1.9)%
                                             ------------  ---------  --------
Operating loss                                   (0.5)%      (2.2)%      1.7 %
Interest and other income (expenses),  net       (0.4)%      (1.2)%      0.8 %
Sale of ELSET product line                       11.4 %       -   %     11.4 %
                                             ------------  ---------  --------
Income before provision for income taxes         10.5 %      (3.4)%     13.9 %
Provision for income taxes                       (0.2)%       -   %    ( 0.2)%
                                             ------------  ---------  --------
Net income (loss)                                10.3 %      (3.4)%     13.7 %
                                             ============  =========  ========


         Net sales.  The  decrease  in net sales  during the nine  months  ended
September 30, 2000, from levels for the same period in 1999 was primarily due to
decreased sales in the post-production  marketplace.  Sales to countries outside
North America for the nine months ended September 30, 2000 and 1999, represented
34.3% and 33.0% of net sales, respectively.


                                      -13-
<PAGE>


         The  following  table  presents  net sales  dollar  volume for the nine
months ended  September 30, 2000 and 1999, by market and related  percentages of
total net sales (dollar amounts in thousands):

                                         Nine Months Ended
                                         -----------------
                                           September 30,
                                           -------------
                               2000                             1999
                               ----                             ----
    Marketplace       Amount          Percent          Amount           Percent
    -----------    -------------    ------------    -------------     ----------
Post-Production     $ 13,072          51.7%         $   16,135           60.6%
Distribution           9,058          35.9%              7,100           26.6%
Other                  3,131          12.4%              3,419           12.8%
                   -----------------------------    ----------------------------
                    $  25,261        100.0%         $   26,654          100.0%
                   =============================    ============================

         Cost of sales.  Cost of sales, as a percentage of sales,  increased for
the nine months ended  September 30, 2000, from levels for the nine months ended
September 30, 1999, as sales  decreased  while  overall  manufacturing  expenses
remained unchanged.

         Research and  development.  Research and  development  expenses for the
nine months ended September 30, 2000,  decreased over levels for the same period
in 1999 primarily due to the decrease in headcount  which resulted from the sale
of the  ELSET  virtual  set  product  line in  January  2000 and a  decrease  in
consultant expenses.

         Marketing and sales.  Marketing and sales  expenses for the nine months
ended  September  30,  2000,  decreased  over levels for the nine  months  ended
September 30, 1999, primarily due to decreases in headcount and related overhead
expenses and decreases in expenses related to demonstration equipment.

         General and administrative. General and administrative expenses for the
nine months ended September 30, 2000,  decreased from levels for the same period
in 1999  primarily due to decreases in contract and temporary  worker  expenses,
amortization of intangibles and the provision for bad debt.

         Interest and other income, net. Interest and other income, net, for the
nine months ended September 30, 2000,  increased over levels for the nine months
ended   September  30,  1999,  due  to  an  increase  in  interest  income  from
interest-bearing  cash accounts and notes due from  directors  and  officers,  a
decrease in interest  expense  resulting  from  reduced  levels of debt,  and an
increase in other income.

         Provision  for income  taxes.  For the nine months ended  September 30,
2000,  the provision for income taxes  consists of tax expense  calculated at an
effective  rate lower than the statutory  rate of 35% due to  realization of net
operating losses to be carried forward.  For the nine months ended September 30,
1999,  the Company had an effective  rate of 0%  reflecting  the  Company's  net
operating losses to be carried forward.


                                      -14-
<PAGE>


         Liquidity and Capital Resources

         Since   inception,   the  Company  has  financed  its   operations  and
expenditures  for property and equipment  through cash  generated in operations,
the sale of capital stock and convertible debt,  borrowings under a bank line of
credit and term loans.

          As of  September  30,  2000,  the Company had $1.5 million in cash and
cash equivalents.  In addition, the Company had $320,000 in Restricted Cash (see
below)  which  consisted  of excess  deposits in transit from the Company to its
lender which were to be invested on behalf of the Company.

         Operating  activities  provided $459,000 in net cash in the nine months
ended  September  30, 2000 and provided  $587,000 in net cash in the nine months
ended  September  30, 1999.  Net cash  provided by operations in the nine months
ended September 30, 2000, was due primarily to an increase in accounts  payable.
Additionally, cash was provided by the sale of ELSET virtual set product line in
January.  Net cash provided by operations in the nine months ended September 30,
1999, was due primarily to a decrease in inventories and an increase in accounts
payable  partially  offset by an increase in other current assets and a decrease
in other  accrued  liabilities.  Proceeds  from the issue of  long-term,  senior
subordinated  convertible  notes,  together  with  cash  provided  by  operating
activities,  were used in  financing  activities  for the  repayment  of amounts
borrowed  previously  under a line of credit as well as the  repayment  of notes
payable  incurred as part of the Scitex  Digital Video  acquisition  in December
1999.

         On  February  10,  2000,  the  Company  signed  an  agreement  with The
Provident  Bank  ("Provident"),  an  Ohio  chartered  bank,  for a $2.0  million
revolving  line of  credit  ("line").  Provident  issued  an  amendment  to this
agreement on August 11, 2000. The amendment provided for a reduction in the line
to $1.5 million,  an increase in the interest rate, changes in certain financial
covenants,  and a change  in the  maturity  date of the  loan to June 30,  2001.
Interest  accrues on  outstanding  borrowings  at the bank's prime rate plus 225
basis  points.  The  credit  line  is  secured  by all  assets  of the  Company.
Availability under the line is calculated based on eligible accounts receivable.
Borrowings  under the line are  subject to  compliance  with  certain  financial
covenants.  As of September 30, 2000,  the Company was not in compliance  with a
financial covenant. On October 26, 2000, Provident issued a waiver remedying the
violation  of this  covenant.  This waiver  related to the  September  30, 2000,
covenant violation and not beyond.  Additionally,  under the financial covenants
in the original  agreement,  the Company was not in  compliance  as of April 30,
2000.  With the  adjustment in financial  covenants  specified in the August 11,
2000,  amendment,  the Company was in compliance  with the  financial  covenants
retroactive to April 30, 2000 and as of June 30, 2000. According to the terms of
the original  agreement,  borrowings  were limited to a maximum of $2.0 million.
However, in May 2000, Provident reduced the limit to $1.5 million as a result of
the Company's failure to meet certain financial  covenants as of April 30, 2000.
This limit was formally instituted in the August 2000 amendment. As of September
30, 2000, there were no borrowings outstanding under the line.

         On January 21, 2000, the Company and certain of its  subsidiaries  sold
substantially  all of their  respective  assets related to the ELSET virtual set
product line ("ELSET") to IMadGINE Video Systems Marketing ("IMadGINE"), a Dutch
company that is a wholly owned subsidiary of Orad Hi-Tec Systems Ltd.  ("Orad"),
an Israeli corporation. IMadGINE also purchased the stock of Accom's subsidiary,
Accom Poland Sp. z o.o., a Polish corporation.  The Company and its subsidiaries
also sold  certain  intellectual  property  related to the ELSET  business.  The
Company  sold these assets in exchange  for (i)  $4,000,0000  in cash and (ii) a
warrant to purchase 70,423 ordinary shares of Orad.

         On March 12, 1999,  the Company  completed a private  placement of $3.5
million in senior  subordinated  convertible notes with a group of investors led
by the American Bankers  Insurance Group, Inc.  ("ABIG").  The agreement between
the  Company and the  holders of the  convertible  notes was


                                      -15-
<PAGE>


amended and certain  waivers granted on November 3, 1999, and February 10, 2000.
Additional  waivers were granted on April 18, 2000 and July 19, 2000.  The notes
currently have a coupon rate of 8% per year, mature in 2004, and are convertible
into shares of Accom common stock at a price of $1.30 per share.  Proceeds  from
the private placement were used to pay the balance on a revolving line of credit
with LaSalle Business Credit, Inc. that was outstanding at the time the proceeds
were  received.  The agreement  between the Company and ABIG  specifies that the
Company  meet  certain  financial  covenants.  ABIG has the right to declare the
notes  immediately  due if the  covenants are not met. As of September 30, 2000,
the Company was not in compliance with the covenants.  On October 25, 2000, ABIG
issued a waiver for this incidence of non-compliance. This waiver related to the
September 30, 2000, covenant violation and not beyond.

         As of September  30, 2000,  the Company had $1.5 million in  Restricted
Cash.  Restricted Cash was comprised of the following elements:  (1) $320,000 in
cash  deposits to be "swept" into an account  controlled by Provident as part of
the Company's agreement with Provident to turn over all deposits received by the
Company to  Provident to pay down the line of credit;  (2)  $400,000  held in an
escrow  account  at  Provident  until  January  2001 to be used to  satisfy  any
indemnification  claims by  IMadGINE  against  the  Company  under the  purchase
agreement  entered into between the Company and IMadGINE in connection  with the
January  2000 sale to  IMadGINE of the assets  related to the ELSET  virtual set
product line;  and (3) $750,000 held in an account  controlled by the Company as
part of an  agreement  between  the Company and ABIG to set aside funds from the
sale of ELSET to (a) pay all debt owed to Scitex  Digital  Video and (b) pay all
transaction expenses related to the sale of ELSET.

         The Company  believes  that its existing  cash,  cash  equivalents  and
credit  facilities will be sufficient to meet its cash requirements for at least
the next  twelve  months.  The Company  believes  that its  operating  plans are
reasonable  and can be achieved.  In the event that results from  operations and
cash flows  generated are less than  planned,  the Company will  reevaluate  its
operating  plans  and  believes  it will  have the  ability  to delay or  reduce
expenditures  so as to not breach the  covenants  of its  credit  facilities  or
require  additional  resources  to ensure that the Company  continues as a going
concern at least through September 30, 2001.

         Although operating  activities may provide cash in certain periods,  to
the  extent  the  Company  grows in the  future,  its  operating  and  investing
activities may use cash and,  consequently,  such growth may require the Company
to obtain  additional  sources of financing.  There can be no assurance that any
necessary  additional financing will be available to the Company on commercially
reasonable terms, if at all.

Item 3.  Quantitative and Qualitative Disclosures About Market Risks

         Accom  develops  its  technology  in the  United  States  and sells its
products primarily in North America,  Europe, and the Far East. As a result, the
Company's  financial  results  could be affected  by factors  such as changes in
foreign currency exchange rates or weak economic  conditions in foreign markets.
As  all  of  the  Company's  sales  are  currently  made  in  U.S.  dollars,   a
strengthening  of the dollar could make the Company's  products less competitive
in foreign markets. The Company's interest expense on its credit line borrowings
with The Provident Bank is sensitive to changes in the general level of interest
rates.  Due to the nature of the Company's debts, the Company has concluded that
there is currently no material market risk exposure.  Therefore, no quantitative
tabular disclosures have been presented.


                                      -16-
<PAGE>


                           Part II. Other Information

         Item 1.  Legal Proceedings

         None.


         Item 2.  Changes in Securities and Use of Proceeds

         None.


         Item 3.  Defaults Upon Senior Securities

         None.


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

         None.


         Item 5.  Other Information

         None.


         Item 6.  Exhibits and Reports on Form 8-K

         (a)  Exhibits.

              27.1     Financial Data Schedule (EDGAR filed version only)

         (b)  Reports on Form 8-K

              None.



                                      -17-
<PAGE>


                                    SIGNATURE

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.

         ACCOM, INC.



         By: /s/  JUNAID SHEIKH
             ---------------------
                 (Junaid Sheikh)
         Chairman, President and Chief Executive Officer
         (Principal Executive Officer)


         By: /s/  DONALD K. McCAULEY
             ---------------------------
                 (Donald K. McCauley)
         Senior Vice President, Finance and Chief Financial Officer
         (Principal Financial and Accounting Officer)



         Date:  November 13, 2000



                                      -18-