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

                                    FORM 10-Q
(Mark One)

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

                  For quarterly period ended December 31, 2010

                                       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 333-169085


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

           Nevada                                                42-1771506
(State or other jurisdiction of                               (I.R.S. employer
 incorporation or organization)                              identification no.)

                                 5348 Vegas Dr.
                               Las Vegas NV 89108
               (Address of principal executive offices)(Zip code)

                                Tel: 888-284-3821
                             Fax: +1 (888) 353-8842
              (Registrant's telephone number, including area code)

                                 Not Applicable
              (Former name, former address, and former fiscal year,
                          if changed since last report)

Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during
the  preceding 12 months (or for such  shorter  period that the  registrant  was
required  to file  such  reports),  and  (2) has  been  subject  to such  filing
requirements for the past 90 days. Yes [ ] No [X]

Indicate by checkmark  whether the registrant is a large  accelerated  filer, an
accelerated filer, a non-accelerated  filer or a smaller reporting company.  See
definition  of "large  accelerated  filer,"  "accelerated  filer," and  "smaller
reporting company" in Rule 12b-2 of the Exchange Act.

Large accelerated filer [ ]                        Accelerated filer [ ]

Non-accelerated filer [ ]                          Smaller reporting company [X]

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

The issuer has 10,000,000  shares of common stock  outstanding as of February 2,
2011.
<PAGE>
PART I FINANCIAL INFORMATION

ITEM 1.  FINANCIAL STATEMENTS                                                  3

     Balance Sheets as of December 31, 2010 (Unaudited) and June 30, 2010      3

     Statements  of Operations  for the Three and Six Months Ended
     December 31, 2010, and from May 4, 2010 (Inception) through
     December 31, 2010 (Unaudited)                                             4

     Statements of Cash Flows for the Six Months Ended December 31, 2010,
     and from May 4, 2010 (Inception) through December 31, 2010 (Unaudited)    5

     Statement of Stockholders' Equity                                         6

     Notes to the Financial Statements (Unaudited)                             7

ITEM 2.  MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION
         AND RESULTS OF OPERATIONS                                            11

ITEM 3.  QUANTATATIVE AND QUALITATIVE DISCLOSURE ABOUT MARKET RISK            13

ITEM 4.  CONTROLS AND PROCEDURES                                              13

PART II OTHER INFORMATION

ITEM 1.LEGAL PROCEEDINGS                                                      14

ITEM 1A. RISK FACTORS                                                         14

ITEM 2.  UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS          14

ITEM 3.  DEFAULTS IN SENIOR SECURITIES                                        14

ITEM 4.  REMOVED AND RESERVED                                                 14

ITEM 5.  OTHER INFORMATION                                                    14

ITEM 6.  EXHIBITS                                                             14

                                       2
<PAGE>
                         PART I. FINANCIAL INFORMATION

ITEM 1. FINANCIAL STATEMENTS

                             ADVANCED CELLULAR, INC.
                          (A Development Stage Company)
                                 BALANCE SHEETS

<TABLE>
<CAPTION>
                                                                        December 31,        June 30,
                                                                           2010               2010
                                                                         --------           --------
                                                                        (Unaudited)         (Audited)
<S>                                                                    <C>                <C>
ASSETS

Current Assets:
  Cash                                                                   $  9,612           $ 20,020
  Deferred offering costs                                                   8,370                 --
                                                                         --------           --------

Total Current Assets                                                       17,982             20,020
                                                                         --------           --------

Total Assets                                                             $ 17,982           $ 20,020
                                                                         ========           ========

LIABILITIES AND STOCKHOLDERS' EQUITY

Current Liabilities:
  Accounts payable                                                       $  1,320           $     --
  Loans payable - director                                                     --                682
                                                                         --------           --------

Total Current Liabilities                                                   1,320                682
                                                                         --------           --------

Total Liabilities                                                           1,320                682
                                                                         --------           --------
Stockholders' Equity:
  Preferred Stock, 50,000,000 shares authorized, par value $0.0001,
   no shares issued and outstanding                                            --                 --
  Common Stock, 100,000,000 shares authorized, par value $0.0001,
   10,000,000 shares issued and outstanding                                 1,000              1,000
  Additional paid in capital                                               19,000             19,000
  Deficit accumulated during the development stage                         (3,338)              (662)
                                                                         --------           --------

Total Stockholders' Equity                                                 16,662             19,338
                                                                         --------           --------

Total Liabilities and Stockholders' Equity                               $ 17,982           $ 20,020
                                                                         ========           ========
</TABLE>


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

                                       3
<PAGE>
                             ADVANCED CELLULAR, INC.
                          (A Development Stage Company)
                            STATEMENTS OF OPERATIONS
                                   (Unaudited)

<TABLE>
<CAPTION>
                                                                                     Cumulative
                                      Three Months            Six Months             May 4, 2010
                                         Ended                  Ended              (Inception) to
                                       December 31,           December 31,           December 31,
                                          2010                   2010                   2010
                                      ------------           ------------           ------------
<S>                                   <C>                    <C>                    <C>
Revenue                               $         --           $         --           $         --

Expenses:
  Organization cost                             --                     --                    662
  General and administrative                 1,090                  2,676                  2,676
                                      ------------           ------------           ------------
      Total expenses                         1,090                  2,676                  3,338

Loss before income taxes                    (1,090)                (2,676)                (3,338)

Provision for Income Taxes                      --                     --                     --
                                      ------------           ------------           ------------

Net Loss                              $     (1,090)          $     (2,676)          $     (3,338)
                                      ============           ============           ============

Basic and Diluted
  Loss per Common Share                          a                      a
                                      ============           ============
Weighted Average Number of
 Common Shares                          10,000,000             10,000,000
                                      ============           ============
</TABLE>

----------
a = Less than ($0.01) per share


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

                                       4
<PAGE>
                             ADVANCED CELLULAR, INC.
                          (A Development Stage Company)
                       STATEMENTS OF STOCKHOLDER'S EQUITY
                                   (unaudited)

<TABLE>
<CAPTION>
                                                                                Deficit
                                                                              Accumulated
                                            Common Stock         Additional    During the
                                         -------------------      Paid in     Development     Total
                                         Shares       Amount      Capital        Stage        Equity
                                         ------       ------      -------        -----        ------
<S>                                     <C>         <C>          <C>           <C>           <C>
INCEPTION MAY 4, 2010                          --     $   --      $    --      $    --       $    --

Common stock issued  to directors
 for cash ($0.002 per share)           10,000,000      1,000       19,000           --        20,000

Net loss for the period                        --         --           --         (662)         (662)
                                       ----------     ------      -------      -------       -------
BALANCE JUNE 30, 2010                  10,000,000      1,000       19,000         (662)       19,338

Net loss for the period                        --         --           --       (1,586)       (1,586)
                                       ----------     ------      -------      -------       -------
BALANCE SEPTEMBER 30, 2010             10,000,000      1,000       19,000       (2,248)       17,752

Net loss for the period                        --         --           --       (1,090)       (1,090)
                                       ----------     ------      -------      -------       -------

BALANCE DECEMBER 31, 2010              10,000,000     $1,000      $19,000      $(3,338)      $16,662
                                       ==========     ======      =======      =======       =======
</TABLE>


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

                                       5
<PAGE>
                             ADVANCED CELLULAR, INC.
                          (A Development Stage Company)
                            STATEMENTS OF CASH FLOWS
                                   (Unaudited)

<TABLE>
<CAPTION>
                                                                               Cumulative
                                                            Six Months         May 4, 2010
                                                              Ended          (Inception) to
                                                            December 31,       December 31,
                                                               2010               2010
                                                             --------           --------
<S>                                                          <C>                <C>
OPERATING ACTIVITIES
  Net loss                                                   $ (2,676)          $ (3,338)
  Adjustments To Reconcile Net Loss To Net Cash
   Used By Operating Activities
     Increase in accounts payable                               1,320              1,320
                                                             --------           --------
Net cash used by operating activities                          (1,356)            (2,018)
                                                             --------           --------

INVESTING ACTIVITIES

Net cash used by investing activities                              --                 --
                                                             --------           --------

FINANCING ACTIVITIES
  Net repayment of loans - director                              (682)                --
  Payment of deferred offering costs                           (8,370)            (8,370)
  Proceeds from issuance of common stock                           --             20,000
                                                             --------           --------
Net cash provided by (used in) financing activities            (9,052)            11,630
                                                             --------           --------

Net Increase (Decrease) in Cash                               (10,408)             9,612

Cash, Beginning of Period                                      20,020                 --
                                                             --------           --------

Cash, End of Period                                          $  9,612           $  9,612
                                                             ========           ========

SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION

Cash paid during the period for:
  Interest                                                   $     --           $     --
                                                             ========           ========

  Income taxes                                               $     --           $     --
                                                             ========           ========
</TABLE>


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

                                       6
<PAGE>
                             ADVANCED CELLULAR, INC.
                          (A Development Stage Company)
                          NOTES TO FINANCIAL STATEMENTS
                                December 31, 2010

NOTE 1. GENERAL ORGANIZATION AND BUSINESS

The  Company  was  incorporated  under the laws of the state of Nevada on May 4,
2010.  The Company has limited  operations,  is considered a  development  stage
company and has not yet realized any revenues from its planned operations.

Subsequent  to our  incorporation,  we have been in the process of  establishing
ourselves  as a  company  that will  focus  its  operations  on  developing  and
commercializing  a performance  management  system that will be used by cellular
network operators. We have named our system AdvancedPM.

NOTE 2. BASIS OF PRESENTATION

The accompanying  unaudited  condensed  interim  financial  statements have been
prepared in accordance  with  accounting  principles  generally  accepted in the
United  States of America  and the rules and  regulations  of the United  States
Securities and Exchange Commission ("SEC") for interim financial information and
with the instructions to Form 10-Q and Article 10 of Regulation S-X.

The  financial  information  as of June 30,  2010 is  derived  from the  audited
financial  statements  presented in the  Company's  Form S-1/A filed with SEC on
December 3, 2010. The unaudited condensed interim financial statements should be
read in conjunction  with the Company's  Form S-1/A,  which contains the audited
financial statements and notes thereto.

Certain  information  or footnote  disclosures  normally  included in  financial
statements prepared in accordance with accounting  principles generally accepted
in the United States of America have been condensed or omitted,  pursuant to the
rules and  regulations  of the  Securities  and Exchange  Commission for interim
financial  reporting.  Accordingly,  they do not include all the information and
footnotes  necessary for a  comprehensive  presentation  of financial  position,
results of operations,  or cash flows. It is management's opinion, however, that
all material adjustments  (consisting of normal recurring adjustments) have been
made  which are  necessary  for a fair  financial  statement  presentation.  The
interim  results for the period  ended  December  31,  2010 are not  necessarily
indicative of results for the full fiscal year.

NOTE 3. SUMMARY OF SIGNIFICANT ACCOUNTING PRACTICES

DEVELOPMENT STAGE

As a development stage enterprise, the Company discloses the deficit accumulated
during the  development  stage and the  cumulative  statements of operations and
cash flows from inception to the current balance sheet date.

USE OF ESTIMATES

The preparation of financial statements in conformity with accounting principles
generally  accepted in the United States of America requires  management to make
estimates  and  assumptions  that  affect  the  reported  amounts  of assets and
liabilities  and disclosure of contingent  assets and liabilities at the date of
the financial statements and the reported amounts of revenue and expenses during
the reporting period. Actual results could differ from those estimates.

EARNINGS PER SHARE

The basic  earnings  (loss) per share is  calculated  by dividing our net income
available to common shareholders by the weighted average number of common shares
during the year. The diluted earnings (loss) per share is calculated by dividing

                                       7
<PAGE>
our net loss attributable to common shareholders by the diluted weighted average
number of shares  outstanding  during the year.  The  diluted  weighted  average
number of shares outstanding is the basic weighted number of shares adjusted for
any potentially dilutive debt or equity.

CASH AND CASH EQUIVALENTS

The Company  considers  all highly  liquid  investments  with  maturity of three
months or less when purchased to be cash equivalents.

DEFERRED OFFERING COSTS

Costs  directly  related to the  issuance of common stock are  capitalized  when
incurred and  reclassed to equity at the time  proceeds  from the sale of common
stock are received.

FAIR VALUE OF FINANCIAL INSTRUMENTS

The  carrying  value  of the  Company's  financial  instruments,  consisting  of
accounts payable and loans from director approximate their fair value due to the
short-term  maturity  of  such  instruments.   Unless  otherwise  noted,  it  is
management's  opinion that the Company is not exposed to  significant  interest,
currency or credit risks arising from these financial instruments.

INCOME TAXES

A deferred  tax asset or liability  is recorded  for all  temporary  differences
between  financial  and tax reporting  and net  operating  loss carry  forwards.
Deferred tax expense  (benefit)  results from the net change  during the year of
deferred tax assets and liabilities.

Deferred tax assets are reduced by a valuation allowance when, in the opinion of
management,  it is more likely than not that some portion or all of the deferred
tax  assets  will not be  realized.  Deferred  tax assets  and  liabilities  are
adjusted  for the  effects  of  changes  in tax  laws  and  rates on the date of
enactment.

When required,  the Company records a liability for  unrecognized tax positions,
defined as the aggregate tax effect of differences  between  positions  taken on
tax  returns  and the  benefits  recognized  in the  financial  statements.  Tax
positions  are  measured at the largest  amount of benefit  that is greater than
fifty percent likely of being realized upon ultimate settlement. No tax benefits
are recognized for positions that do not meet this threshold. The Company has no
uncertain  tax  positions  that require the Company to record a  liability.  The
Company's tax years ended June 30, 2010 and 2011 remain  subject to  examination
by Federal and state jurisdictions.

The Company  recognizes  penalties and interest  associated  with tax matters as
part of the income tax  provision  and includes  accrued  interest and penalties
with the related tax  liability in the balance  sheet.  No provision  for income
taxes  was  required  in any  of  the  periods  presented  in  the  accompanying
statements of operations because of net operating loss  carryforwards  generated
by the Company.

RECENTLY ISSUED ACCOUNTING PRONOUNCEMENTS

In April 2009, the FASB issued FSP No. FAS 157-4,  "Determining  Fair Value When
the Volume and Level of Activity for the Asset or Liability  Have  Significantly
Decreased and Identifying  Transactions That Are Not Orderly" ("FSP FAS 157-4"),
codified  in  FASB  ASC  820-10-65,   which  provides  additional  guidance  for
estimating fair value in accordance with ASC 820-10 when the volume and level of
activity for an asset or liability have significantly  decreased.  ASC 820-10-65
also includes guidance on identifying  circumstances that indicate a transaction
is not  orderly.  The  adoption of ASC  820-10-65  did not have an impact on the
Company's results of operations or financial condition.

In May 2009,  the FASB issued SFAS No. 165,  "Subsequent  Events"  ("SFAS  165")
codified in FASB ASC  855-10-05,  which provides  guidance to establish  general
standards  of  accounting  for and  disclosures  of events  that occur after the
balance sheet date but before  financial  statements are issued or are available
to be issued.  FASB ASC 855-10-05  also  requires  entities to disclose the date
through which subsequent  events were evaluated as well as the rationale for why
that date was  selected.  FASB ASC 855-10-05 is effective for interim and annual

                                       8
<PAGE>
periods  ending after June 15, 2009.  FASB ASC  855-10-05  requires  that public
entities  evaluate  subsequent  events  through  the  date  that  the  financial
statements are issued.

In June 2009, the Financial  Accounting  Standards  Board (FASB) issued guidance
now  codified  as  FASB  Accounting  Standards  Codification  (ASC)  Topic  105,
"GENERALLY   ACCEPTED   ACCOUNTING   PRINCIPLES,"   as  the  single   source  of
authoritative  non-governmental  U.S.  GAAP.  FASB ASC Topic 105 does not change
current U.S. GAAP, but is intended to simplify user access to all  authoritative
U.S.  GAAP by providing  all  authoritative  literature  related to a particular
topic  in  one  place.  All  existing  accounting  standard  documents  will  be
superseded  and  all  other  accounting  literature  not  included  in the  FASB
Codification will be considered non-authoritative.  These provisions of FASB ASC
Topic 105 were effective for interim and annual  periods ending after  September
15, 2009 and, accordingly, were effective for the Company for the current fiscal
reporting period.  The adoption of this  pronouncement did not have an impact on
the Company's business,  financial condition or results of operations,  but will
impact the Company's  financial  reporting process by eliminating all references
to pre-codification  standards. On the effective date of FASB ASC Topic 105, the
Codification  superseded  all  then-existing  non-SEC  accounting  and reporting
standards,  and all other  non-grandfathered  non-SEC accounting  literature not
included in the Codification became non-authoritative.

In January 2010,  the  Financial  Accounting  Standards  Board  ("FASB")  issued
updated guidance to amend the disclosure  requirements  related to recurring and
nonrecurring  fair value  measurements.  This update requires new disclosures on
significant  transfers of assets and liabilities  between Level 1 and Level 2 of
the fair value  hierarchy  (including  the reasons for these  transfers) and the
reasons for any  transfers  in or out of Level 3. This  update  also  requires a
reconciliation  of  recurring  Level  3  measurements  about  purchases,  sales,
issuances and  settlements on a gross basis. In addition to these new disclosure
requirements,  this update clarifies certain existing  disclosure  requirements.
For  example,  this update  clarifies  that  reporting  entities are required to
provide  fair  value  measurement  disclosures  for  each  class of  assets  and
liabilities  rather  than each major  category of assets and  liabilities.  This
update also clarifies the requirement for entities to disclose information about
both the valuation  techniques and inputs used in estimating Level 2 and Level 3
fair value measurements.  This update will become effective for the Company with
the interim and annual reporting period  beginning  January 1, 2010,  except for
the requirement to provide the Level 3 activity of purchases,  sales, issuances,
and  settlements on a gross basis,  which will become  effective for the Company
with the interim and annual  reporting  period  beginning  January 1, 2011.  The
Company will not be required to provide the amended disclosures for any previous
periods  presented for  comparative  purposes.  Other than requiring  additional
disclosures,  adoption  of this  update  will not have a material  effect on the
Company's financial statements.

In June 2009, the FASB issued SFAS No. 167,  "Amendments to FASB  Interpretation
No.  46(R)"  ("SFAS  167"),  codified as FASB ASC 810-10,  which  modifies how a
company  determines when an entity that is insufficiently  capitalized or is not
controlled  through voting (or similar rights) should be consolidated.  FASB ASC
810-10  clarifies  that the  determination  of whether a company is  required to
consolidate an entity is based on, among other things,  an entity's  purpose and
design and a company's  ability to direct the activities of the entity that most
significantly impact the entity's economic performance. FASB ASC 810-10 requires
an ongoing  reassessment  of whether a company is the primary  beneficiary  of a
variable interest entity. FASB ASC 810-10 also requires  additional  disclosures
about a company's  involvement in variable interest entities and any significant
changes in risk exposure due to that  involvement.  FASB ASC 810-10 is effective
for fiscal years  beginning  after  November 15, 2009.  The adoption of FASB ASC
810-10 did not have an impact on the Company's financial  condition,  results of
operations or cash flows.

NOTE 4. INCOME TAXES

The  Company  uses  the  liability  method  ,  where  deferred  tax  assets  and
liabilities  are determined  based on the expected  future tax  consequences  of
temporary differences between the carrying amounts of assets and liabilities for
financial  and income tax  reporting  purposes.  As of December  31,  2010,  the
Company  incurred  net losses  and,  therefore,  has no tax  liability.  The net
deferred tax asset generated by the loss  carry-forward has been fully reserved.
The  cumulative net operating  loss  carry-forward  is $3,338 and will expire 20
years from the date the loss was incurred.

                                       9
<PAGE>
NOTE 5. STOCKHOLDER'S EQUITY

The Company has commenced a capital formation  activity by filing a Registration
Statement  on  Form  S-1 to the SEC to  register  and  sell  in a  self-directed
offering  6,000,000  shares at an offering price of $0.01 per share for proceeds
of up to $60,000.

AUTHORIZED

The  Company is  authorized  to issue  100,000,000  shares of $0.0001  par value
common stock and 50,000,000  shares of preferred stock,  par value $0.0001.  All
common stock shares have equal voting rights,  are  non-assessable  and have one
vote per share. Voting rights are not cumulative and, therefore,  the holders of
more than 50% of the common stock  could,  if they choose to do so, elect all of
the directors of the Company.

ISSUED AND OUTSTANDING

On May 4, 2010,  the Company  issued  10,000,000  shares of common  stock to its
directors for cash consideration of $20,000.

NOTE 6. RELATED PARTY TRANSACTIONS

The sole  officer and  director  of the  Company is  involved in other  business
activities  and  may,  in  the  future,   become   involved  in  other  business
opportunities.  If a  specific  business  opportunity  becomes  available,  such
persons  may face a conflict  in  selecting  between the Company and their other
business  interests.  The Company has not formulated a policy for the resolution
of such conflicts.

NOTE 7. GOING CONCERN

The  accompanying  financial  statements  have been  prepared  assuming that the
Company  will  continue as a going  concern.  The Company has net losses for the
period  from  inception  (May 4, 2010) to  December  31,  2010 of  $3,338.  This
condition raises  substantial doubt about the Company's ability to continue as a
going concern. The Company's continuation as a going concern is dependent on its
ability  to meet its  obligations,  to  obtain  additional  financing  as may be
required and ultimately to attain profitability. The financial statements do not
include any adjustments that might result from the outcome of this uncertainty.

Management  is  planning  to  raise  additional  funds  through  debt or  equity
offerings.  There is no guarantee  that the Company will be  successful in these
efforts.

NOTE 8. LOANS PAYABLE RELATED PARTY

In May 2010, the Company's director advanced a total of $682 to the Company. The
advances, which were repaid on September 28, 2010, were non-interest bearing and
unsecured.

NOTE 9. CONCENTRATIONS OF RISKS

The  Company's  operations  are subject to  significant  risk and  uncertainties
including financial, operational,  technological, and regulatory risks including
the  potential  risk of business  failure.  See Note 7 regarding  going  concern
matters.

NOTE 10. PROPERTY

The  Company  does not own or rent  any  property.  We  currently  maintain  our
corporate  office at 17- 5348 Vegas Dr., Las Vegas,  NV 89108 USA. This location
is a virtual  office that we maintain with  EastBiz.com,  Inc. which provides us
with  a  mailing  address  for  communications.  This  service  is  provided  by
EastBiz.com  for $99.00 per year,  plus we maintain a reserve  that  Eastbiz.com
will use for payment of postage.  This reserve  account will be  supplemented as
needed.  We may terminate the lease  arrangement upon 30-days' written notice to
INC Management.  Our executive officer,  Mr. Nir Eliyahu does not work from this
location,  but operates from his respective  residence in Israel at no charge to
us.

                                       10
<PAGE>
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
        OF OPERATIONS

FORWARD LOOKING STATEMENTS

This quarterly report on Form 10-Q contains certain forward-looking  statements.
Forward-looking  statements  may include  our  statements  regarding  our goals,
beliefs,   strategies,   objectives,   plans,   including  product  and  service
developments,  future  financial  conditions,  results or projections or current
expectations.  In some cases,  you can identify  forward-looking  statements  by
terminology such as "may," "will,"  "should,"  "expect,"  "plan,"  "anticipate,"
"believe,"  "estimate,"  "predict,"  "potential" or "continue,"  the negative of
such terms, or other comparable  terminology.  Such  forward-looking  statements
appear in this Item 2 -  "Management's  Discussion  and  Analysis  of  Financial
Condition  and Results of  Operations,"  and include  statements  regarding  our
expectations  regarding our short - and long-term  capital  requirements and our
business plan and estimated expenses for the coming 12 months.  These statements
are subject to known and unknown  risks,  uncertainties,  assumptions  and other
factors  that may cause actual  results to be  materially  different  from those
contemplated by the forward-looking  statements.  The business and operations of
Advanced  Cellular,  Inc. are subject to substantial  risks,  which increase the
uncertainty inherent in the forward-looking statements contained in this report.
We undertake  no  obligation  to release  publicly the result of any revision to
these  forward-looking  statements  that  may  be  made  to  reflect  events  or
circumstances   after  the  date  hereof  or  to  reflect  the   occurrence   of
unanticipated events. Further information on potential factors that could affect
our business is described  under the heading  "Risks  Related To Our Company" in
Part I, Item 1, "Risk Factors" in our registration statement on Form S-1/A filed
with the SEC on December 3, 2010. Readers are also urged to carefully review and
consider the various disclosures we have made in this report.

OVERVIEW

Advanced Cellular,  Inc. ("Advanced",  "us", "we" and "our") was incorporated on
May 4, 2010 in the State of Nevada. We are a development  stage company,  and to
date have not earned  any  revenue  and  currently  do not have any  significant
assets. Our corporate offices are located at 5348 Vegas Drive, Las Vegas, Nevada
89108.  Our  telephone  number  is (888)  284-3821  and our fax  number is (888)
353-8842. We do not have any subsidiaries.

We established for the purpose of developing and  commercializing  a performance
management  system  for use by  cellular  operators.  We have  named our  system
AdvancedPM.

To date we have not yet started the development of our system, AdvancedPM. There
is no assurance that once  developed it will perform in the manner  described or
will include all of our planned features.

Once  developed,  we expect our planned system to enable  cellular  operators to
analyze and optimize their cellular network performance. Common cellular network
equipment records different events during voice calls or data calls.  These call
events are being stored in a dedicated database.  Each cellular manufacturer has
its own unique database  structure to store the call events.  Cellular operators
have to monitor the call events in order to evaluate and improve their  cellular
network  performance.  Key  Performance  Indicators  (KPIs) are the  significant
measurements used to track the cellular network performance against the cellular
operator's  objectives.  These KPIs are being  calculated  to summarize the call
events;  the  major  KPIs  are  pre-specified  and  common  for  every  cellular
manufacture with respect to the specific technology.  Analyzing the KPIs enables
the operator a real-time monitoring, trend performance tracking and a drill-down
into  network  element  level.  Our planned  system  will  present the KPIs in a
browser based,  parameter  driven,  dynamic report  generation,  flexible report
scheduling  capabilities and Support a wide variety of export formats  including
PDF, HTML, CSV, XLS, RTF, and Image.

Our goal is to help small  cellular  operators  monitor their network and enable
them to improve  their  network  using an  off-the-shelf  product with a minimum
customization which will lead to minimal cost. We plan to generate revenues from
the  sale  of  our  AdvancedPM  system  to  cellular  network  operators,  at an
additional cost we plan to offer support and maintenance service.

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<PAGE>
Once  developed,  we expect  AdvancedPM to provide radio access  network  status
management, performance analysis and support the following capabilities:

     *    Monitor real-time system performance and not only the element status.
     *    Display the  performance  trend  enabling to identify  problems  which
          missed by the manual process.
     *    Geographic map display  enable  analyzing the data over detailed maps,
          streets, satellite photo, topographical.
     *    Export  detailed  daily  reports  for  engineers  and  high  level  of
          management.
     *    Increase engineering  efficiency and automatically  identifying issues
          that impact network quality.
     *    Assess current  deployment and decide  regarding  requirement  for new
          deployment or expansion.

In order to use our planned system,  prospective cellular network operators will
be required to send us the cellular network manufacture data sheets with regards
to performance collection and database  specification,  and then we will need to
integrate the cellular network manufacture database with AdvancedPM.

 Once developed,  we expect AdvancePM to support multi-user  environment through
high speed and secure access across the Intranet or the Internet.  The user will
be able to access  the  reports  directly  without no client  application  using
simple to access web  reports  to improve  the  information  sharing  across the
organization.   Reporting   capabilities   include  exporting  to  a  common  PC
application  format such as Microsoft Excel, PDF, JPG.  Reporting and Monitoring
include  geographic map display enable  analyzing the data over detailed  street
maps, satellite photo and topographical maps.

We have commenced only limited  operations,  primarily focused on organizational
matters and efforts related to this Offering.  Our performance management system
is currently in the development stage and is not ready for commercial sale.

At this  stage in our  development,  there can be no  assurance  that we will be
successful in generating revenues from our performance management system or that
cellular  operators seeking for performance  management system will be receptive
to using our service.

Our auditors have issued an audit opinion which includes a statement  describing
their doubts about  whether we will continue as a going  concern.  Our financial
status  creates  substantial  doubt whether we will continue as a going concern.
Investors should note that we have not generated any revenues to date, we do not
yet have any products available for sale, and we do not have a fully operational
valid working prototype of our proposed product.

As of December 31,  2010,  our company has $9,612 of cash and will need to raise
additional  capital within the next twelve months.  The company has no full time
employees and our current  officer/director intends to devote approximately five
hours per week to our business activities.

RESULTS OF OPERATIONS - THREE AND SIX MONTHS ENDED DECEMBER 31, 2010

During the three and six months ended  December 31, 2010, we incurred  operating
expenses of $1,090 and $2,676,  respectively.  Our operating  expenses consisted
primarily of a  management  fee of $1,000 paid to our chief  executive  officer,
$1,070 of research and consulting fees and $444 of professional  fees related to
filings with the SEC.

                                       12
<PAGE>
NET LOSS

We incurred net losses  during the three and six months ended  December 31, 2010
of $1,090 and $2,676, respectively.

LIQUIDITY AND CAPITAL RESOURCES

To date,  we have had  negative  cash  flows  from  operations  and we have been
dependent on sales of our equity  securities to meet our cash  requirements.  We
expect this situation to continue for the foreseeable future. We anticipate that
we will have  negative  cash  flows from  operations  in the next  twelve  month
period.

As of December 31, 2010,  we had cash of $9,612  representing  a net decrease in
cash of $10,408 since June 30, 2010.

During  the six  months  ended  December  31,  2010,  we used  $1,356 of cash in
operations  for the  operating  expenses  described  above,  offset  by a $1,320
increase in accounts payable.

During the six months  ended  December 31,  2010,  we used $9,052 for  financing
activities  consisting of $8,370 of deferred  offering  costs and repayment of a
loan from our director in the amount of $682.

Because we have not  generated  any revenue from our  business,  we will need to
raise additional funds for the future development of our business and to respond
to  unanticipated  requirements  or  expenses.  There can be no  assurance  that
additional  financing will be available to us, or on terms that are  acceptable.
Consequently,  we may not be able to proceed with our intended business plans or
complete the development and commercialization of our product.

If we fail to generate sufficient net revenues, we will need to raise additional
capital  to  continue  our  operations  thereafter.  We  cannot  guarantee  that
additional  funding  will be  available  on  favorable  terms,  if at  all.  Any
shortfall will affect our ability to expand or even continue our operations.  We
cannot  guarantee that additional  funding will be available on favorable terms,
if at all.

ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

Not applicable.

ITEM 4/4T. CONTROLS AND PROCEDURES

EVALUATION OF DISCLOSURE CONTROLS AND PROCEDURES

As required by Rule 13a-15/15d-15 under the Securities and Exchange Act of 1934,
as amended (the "Exchange Act"), as of December 31, 2010, we have carried out an
evaluation  of the  effectiveness  of the design and  operation of our Company's
disclosure  controls and  procedures.  This evaluation was carried out under the
supervision  and  with  the  participation  of  our  Company's  management,  our
President  (Principal  Executive  Officer) and Treasurer  (Principal  Accounting
Officer).  Based  upon  the  results  of that  evaluation,  our  management  has
concluded that, as of December 31, 2010, our Company's  disclosure  controls and
procedures  were  effective  and  provide  reasonable  assurance  that  material
information  related to our Company required to be disclosed in the reports that
we file or submit under the Exchange Act is recorded, processed,  summarized and
reported  within the time periods  specified  in the SEC's rules and forms,  and
that such  information is accumulated  and  communicated  to management to allow
timely decisions on required disclosure.

CHANGES IN INTERNAL CONTROL OVER FINANCIAL REPORTING

There  were  no  changes  in  our  internal  control  over  financial  reporting
identified in connection with the evaluation  described above during the quarter
ended December 31, 2010 that has materially  affected or is reasonably likely to
materially affect our internal controls over financial reporting.

                                       13
<PAGE>
                           PART II. OTHER INFORMATION

ITEM 1. LEGAL PROCEEDINGS

None.

ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS.

None.

ITEM 3. DEFAULTS UPON SENIOR SECURITIES.

None.

ITEM 4. REMOVED AND RESERVED.

ITEM 5. OTHER INFORMATION.

None.

ITEM 6. EXHIBITS

(a) Pursuant to Rule 601 of Regulation  SK, the following  exhibits are included
herein or incorporated by reference.

Exhibit
Number                            Description
------                            -----------

31.1     Certification of CEO Pursuant to 18 U.S.C. ss. 1350, Section 302

31.2     Certification of CFO Pursuant to 18 U.S.C. ss. 1350, Section 302

32.1     Certification Pursuant to 18 U.S.C. ss.1350, Section 906

32.2     Certification Pursuant to 18 U.S.C. ss. 1350, Section 906

                                       14
<PAGE>
                                   SIGNATURES

Pursuant to the  requirements of Section 13 or 15(d) 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.

ADVANCED CELLULAR, INC.


By: /s/ Nir Eliyahu
    --------------------------------------------------------------------
    Nir Eliyahu
    President, Chief Executive Officer, Chief Financial Officer, Director
    (Principal Executive Officer, Principal Financial Officer, Principal
    Accounting Officer)
    February 2, 2011

Pursuant to the requirements of the Securities Exchange Act of 1934, this report
has been signed below by the following  persons on behalf of the  registrant and
in the capacities and on the dates indicated.


By: /s/ Nir Eliyahu
    ---------------------------------------------------------------------
    Nir Eliyahu
    President, Chief Executive Officer, Chief Financial Officer, Director
    (Principal Executive Officer, Principal Financial Officer, Principal
    Accounting Officer)
    February 2, 2011


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