U.S. SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549


                                   FORM 10-QSB

[X]  QUARTERLY  REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES  EXCHANGE ACT
     OF 1934 for the quarterly period ended March 31, 2000

[ ]  TRANSITION  REPORT UNDER SECTION 13 OR 15(d) OF THE  SECURITIES  EXCHANGE
     ACT OF 1934 for the transition period from _______ to _______

     Commission file number   0-23505


                                 INNOVACOM, INC.
        (Exact name of small business issuer as specified in its charter)


               Nevada                                    88-0308568
(State or other jurisdiction of               (IRS Employer Identification No.)
 incorporation or organization)


                               3400 Garrett Drive
                              Santa Clara, CA 94054
               (Address of principal executive offices) (Zip Code)

                                 (408) 727-2447
                           (Issuer's telephone number)


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

Number of shares of common stock outstanding as of March 31, 2000 was 36,394,520

Transitional Small Business disclosure format
        Yes  [  ]           No  [X]


<PAGE>1


PART I.  FINANCIAL INFORMATION
Item 1.  Financial Statements

                        INNOVACOM, INC. AND SUBSIDIARIES
                        (A DEVELOPMENT STAGE ENTERPRISE)

                      CONDENSED CONSOLIDATED BALANCE SHEET
                      (In thousands, except share amounts)
                                   (Unaudited)

                                                                       MARCH 31,
                                                                         2000
                                                                      ---------
                                     ASSETS

CURRENT ASSETS:
  Cash                                                                $     296
  Accounts receivable,
    less: allowance for doubtful accounts of $10                             27

  Inventory                                                                 218
  Prepaid expenses and other                                                 61
                                                                      ---------
    Total current assets                                                    602

  PROPERTY AND EQUIPMENT, net                                               115
  DEPOSITS                                                                   37
                                                                      ---------
  TOTAL ASSETS                                                        $     754
                                                                      =========

                 LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT)

CURRENT LIABILITIES:
  Notes payable - related parties                                     $     100
  Secured promissory notes                                                5,175
  Convertible debentures                                                  4,750
  Accounts payable                                                        1,106
  Accrued liabilities                                                     2,694
  Liabilities in excess of assets of discontinued operations                 63
                                                                      ---------
    Total current liabilities                                            13,888

STOCKHOLDERS' EQUITY (DEFICIT):
  Common stock, $.001 par value, 150,000,000 shares
    authorized, 36,394,520 shares issued and outstanding                     36
  Warrants                                                                2,797
  Additional paid-in capital                                             29,257
  Deficit accumulated during development stage                          (45,224)
                                                                      ---------
    Total stockholders' equity (deficit)                                (13,134)
                                                                      ---------
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT)                  $     754
                                                                      =========

<PAGE>2


                        INNOVACOM, INC. AND SUBSIDIARIES
                        (A DEVELOPMENT STAGE ENTERPRISE)

                 CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
                     (In thousands except per share amounts)
                                   (Unaudited)

<TABLE>
<CAPTION>



                                                                                    MARCH 3, 1993
                                                     FOR THE THREE MONTHS ENDED    (INCEPTION) TO
                                                              MARCH 31,               MARCH 31,
                                                     --------------------------      -----------
                                                        1999             2000            2000
                                                     ----------       ---------      -----------
<S>                                                  <C>              <C>            <C>
REVENUES                                             $       36       $     297      $     1,060
                                                     ----------       ---------      -----------
COSTS AND EXPENSES:
  Costs of goods sold                                       167             237            1,120
  Research and development                                  369             471           12,793
  Selling, general and administrative                       607           1,025           19,965
  Impairment loss on property and equipment                   -               -              937
                                                     ----------       ---------      -----------
    Total costs and expenses                              1,143           1,733           34,815
                                                     ----------       ---------      -----------
OPERATING LOSS                                           (1,107)         (1,436)         (33,755)
                                                     ----------       ---------      -----------
OTHER INCOME (EXPENSE):
  Interest expense, net of interest income                 (659)           (937)          (9,737)
  Debt conversion expense                                     -               -             (261)
  Other income                                                -               -                2
                                                     ----------       ---------      -----------
    Total other income (expense)                           (659)           (937)          (9,996)
                                                     ----------       ---------      -----------
LOSS FROM CONTINUING OPERATIONS BEFORE INCOME
TAX EXPENSE, DISCONTINUED OPERATIONS, AND
EXTORDINARY ITEM                                         (1,766)         (2,373)         (43,751)

INCOME TAX EXPENSE                                            2               2               10
                                                     ----------       ---------      -----------
LOSS FROM CONTINUING OPERATIONS:                         (1,768)         (2,375)         (43,761)
                                                     ----------       ---------      -----------
  Loss on disposal of discontinued operations                 -               -           (1,160)
  Loss from operations of discontinued
    operation, net of income tax expense                      -               -           (1,130)
                                                     ----------       ---------      -----------
LOSS FROM DISCONTINUED OPERATIONS                             -               -           (2,290)

Extordinary Item: GAIN ON EXTINGUISHMENT OF
  LIABILITIES                                               123              18              827
                                                     ----------       ----------     -----------
NET LOSS                                             $   (1,645)      $  (2,357)     $   (45,224)
                                                     ==========       ==========     ===========
BASIC AND DILUTED NET LOSS PER SHARE:
  Continuing operations                              $     (.07)      $    (.08)
  Discontinued operations                                     -               -
  Extraordinary item                                          -               -
                                                     ----------       ---------
  Basic and diluted net loss per share               $     (.07)      $    (.08)
                                                     ==========       =========
 WEIGHTED AVERAGE NUMBER OF SHARES OUTSTANDING           25,036          30,738
                                                     ==========       =========
</TABLE>

<PAGE>3

                        INNOVACOM, INC. AND SUBSIDIARIES
                        (A DEVELOPMENT STAGE ENTERPRISE)

                 CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
                                 (In thousands)
                                   (Unaudited)

<TABLE>
<CAPTION>

                                                                                         MARCH 3, 1993
                                                          FOR THE THREE MONTHS ENDED    (INCEPTION) TO
                                                                   MARCH 31,               MARCH 31,
                                                          --------------------------      -----------
                                                             1999             2000            2000
                                                          ----------       ---------      -----------
<S>                                                       <C>              <C>            <C>
CASH FLOWS FROM OPERATING ACTIVITIES:
  Net loss from continuing operations                     $   (1,768)      $  (2,375)     $   (43,761)
  Adjustments to reconcile net loss to net cash
      used in operating activities:
    Depreciation and amortization                                 38              29              902
    Provision for inventory obsolescence                           -              45               85
    Provision for doubtful accounts                                -               -               20
    Amortization of discount on long-term debt                     -               -            2,346
    Loss on sale of fixed assets                                   -               -               25
    Impairment loss on property and equipment                      -               -              940
    Interest related to beneficial conversion feature
      and warrants issued in connection with notes
      payable and convertible debentures                         285             436            3,834
    Compensation recognized upon issuance of
      stock and stock options                                     11             232            6,069
    Shares canceled from default judgement                         -               -             (250)
    Contribution of product license                                -               -            1,275
    Write down of purchased incomplete
      research and development                                     -               -              500
    Write-off acquisition costs                                    -               -               68
    Gain on extinguishment of liabilities                        123              18              827
    Debt conversion expense                                        -               -              261
    Write-off of related party receivable                          -               -              140
    Changes in operating assets and liabilities:
      Accounts receivable                                         (9)            128              (47)
      Inventory                                                 (136)            (53)            (304)
      Prepaid expenses                                           (11)            (12)             (61)
      Deposits                                                     -               -              (37)
      Accounts payable                                          (255)           (116)           1,513
      Accrued liabilities                                        387             416            4,018
                                                          ----------       ---------      -----------
        Net cash used in operating activities from
        Continuing operations                                 (1,335)         (1,252)         (21,637)
                                                          ----------       ---------      -----------
    Net loss from discontinued operations                          -               -           (2,290)
      Loss on disposal of assets                                   -               -               49
      Write-down of film rights and film costs inventory           -               -              250
      Write-down of goodwill                                       -               -              848
      Change in liabilities in excess of assets of
        discontinued operations                                    -               -               63
                                                          ----------       ---------      -----------
        Net cash (used in) operating activities
        from discontinued operations                               -               -           (1,080)
                                                          ----------       ---------      -----------

</TABLE>

                                  (Continued)

<PAGE>4

                        INNOVACOM, INC. AND SUBSIDIARIES
                        (A DEVELOPMENT STAGE ENTERPRISE)

                 CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
                                 (In thousands)
                                   (Unaudited)


<TABLE>
<CAPTION>

                                                                                         MARCH 3, 1993
                                                          FOR THE THREE MONTHS ENDED    (INCEPTION) TO
                                                                   MARCH 31,               MARCH 31,
                                                          --------------------------      -----------
                                                             1999             2000            2000
                                                          ----------       ---------      -----------


<S>                                                      <C>              <C>             <C>
CASH FLOWS FROM INVESTING ACTIVITIES:
  Cash received in acquisition of Sierra Vista
    Entertainment                                                  -               -            2,917
  Cost incurred for organization of joint venture                  -               -              (68)
  Advance to related party                                         -               -             (140)
  Purchases of property and equipment                             (5)              -           (2,200)
  Proceeds from sale of assets                                     -               -                4
                                                          ----------       ---------      -----------
    Net cash provided by (used in)
      investing activities                                        (5)              -              513
                                                          ----------       ---------      -----------
CASH FLOWS FROM FINANCING ACTIVITIES:
  Proceeds from notes payable                                    600               -            4,865
  Proceeds from secured promissory notes                           -             975            5,175
  Net proceeds from sale of convertible debentures
    With detachable warrants                                     750               -            9,358
  Principal payments on notes payable-related party              (15)              -             (309)
  Proceeds from sale of common stock                               -               -            2,898
  Proceeds from issuance of stock options                          -             270              272
  Proceeds from settlements                                       40               -              241
                                                          ----------       ---------      -----------
    Net cash provided by financing
      Activities                                               1,375           1,245           22,500
                                                          ----------       ---------      -----------
NET INCREASE (DECREASE) IN CASH AND CASH
  EQUIVALENTS                                                     35              (7)             296
CASH AND CASH EQUIVALENTS, beginning of
  Period                                                          34             303                -
                                                          ----------       ---------      -----------
CASH AND CASH EQUIVALENTS, end of period                  $       69       $     296      $       296
                                                          ==========       =========      ===========
</TABLE>

<PAGE>5

                        INNOVACOM, INC. AND SUBSIDIARIES
                        (A Development Stage Enterprise)
              Notes to Condensed Consolidated Financial Statements
                                 March 31, 2000
                                   (Unaudited)


1.  BASIS OF PRESENTATION:

    The accompanying  unaudited condensed consolidated financial statements have
    been prepared in accordance with generally  accepted  accounting  principles
    for interim financial  information and pursuant to the rules and regulations
    of the Securities and Exchange Commission.  Accordingly, they do not include
    all  of  the  information  and  footnotes  required  by  generally  accepted
    accounting  principles  for  complete  financial  statements.   For  further
    information,  refer  to  the  financial  statements  and  footnotes  thereto
    included in the  Company's  annual report on Form 10-KSB for the fiscal year
    ended December 31, 1999.

    In the opinion of management, the unaudited condensed consolidated financial
    statements  contain all adjustments  considered  necessary to present fairly
    the Company's  financial  position at March 31, 2000,  results of operations
    for the three  months  ended  March 31,  1999 and 2000,  and the period from
    March 3, 1993  (inception)  to March 31,  2000,  and the cash  flows for the
    three  months  ended March 31,  1999 and 2000,  and the period from March 3,
    1993  (inception)  to March 31, 2000. The results for the period ended March
    31, 2000, are not  necessarily  indicative of the results to be expected for
    the entire fiscal year ending December 31, 2000.

2.  SECURED PROMISSORY NOTES:

    During the period ended March 31, 2000, the Company  entered into promissory
    note agreements totaling $975,000 that are due on demand and accrue interest
    at 13%  per  annum.  The  notes  are  secured  by  substantially  all of the
    Company's  assets.  As part of the issuance of the notes, the Company issued
    to the note holder  five-year  warrants to purchase 487,500 shares of common
    stock at prices ranging from $0.30 to $1.00. In addition, the Company issued
    five-year  warrants to  purchase  195,000  shares of common  stock at prices
    ranging from $0.53 to $1.63 per share as a finder's fee.

3.  CONVERTIBLE DEBENTURES:

    In the  period  ended  March 31,  2000,  the  holders of the  December  1997
    debentures  converted  $4,690,000  in  principal  and  $723,063  in  accrued
    interest into 8,349,248 shares of common stock.

4.  STOCKHOLDERS' EQUITY:

    During the period  ended  March 31,  2000,  outstanding  options to purchase
    437,627 shares of common stock were exercised in non-cash  transactions.  In
    addition,  outstanding  warrants to purchase  785,028 shares of common stock
    were also exercised in non-cash transactions.

<PAGE>6


    Also, during the period ended March 31, 2000,  options to purchase 1,038,017
    shares of common  stock were  exercised  with prices  ranging  from $0.23 to
    $0.26 per share with proceeds received equal to $270,000.

5.  SUBSEQUENT EVENTS:

    On April 26, 2000,  the Company  borrowed  $400,000  from an investor in the
    form of a note.  The note bears  interest  at 13% and is due on  demand.  In
    conjunction  with this  note,  the  Company  issued  five year  warrants  to
    purchase up to 200,000  shares of common stock at $.50 per share to the note
    holder,  and five year  warrants to  purchase up to 80,000  shares of common
    stock at $.97 per share to two brokers.


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

With the exception of historical facts stated herein,  the matters  discussed in
this  report  are  "forward   looking"   statements   that  involve   risks  and
uncertainties  that  could  cause  actual  results  to  differ  materially  from
projected  results.  Such  "forward  looking"  statements  include,  but are not
necessarily  limited  to,  statements  regarding  anticipated  levels  of future
revenues and earnings from  operations of the Company.  Factors that could cause
actual  results to differ  materially  include,  in  addition  to other  factors
identified  in this  report,  lack of  revenues,  substantial  losses,  need for
additional  capital  and  limited  operating  history,  and other  risk  factors
detailed in the Company's  Securities and Exchange  Commission  ("SEC")  filings
including  the factors set forth in the "Certain  Consideration"  section in the
Company's  Form 10-KSB for the year ended  December  31,  1999.  Readers of this
report are cautioned not to put undue reliance on "forward  looking"  statements
which  are,  by  their  nature,  uncertain  as  reliable  indicators  of  future
performance.  The Company  disclaims any intent or obligation to publicly update
these  "forward  looking"  statements,  whether as a result of new  information,
future events, or otherwise.

Revenues

Revenues for the three months ended March 31, 2000 were  approximately  $297,000
as compared to approximately $36,000 for the same period in 1999, representing a
725%  increase.  The  revenue  in 2000 was from  the  sale of  approximately  26
Transpeg family products and in 1999 was from the sale of 2 TransPeg systems.

Cost of goods sold

Cost of goods sold was approximately  $237,000 in the first three months of 2000
as compared to approximately  $167,000 in the same period of 1999. Cost of sales
for the three  month  period  ended  March 31,  2000,  includes  an  unfavorable
inventory cost adjustment of  approximately  $44,000 which is not expected to be
an ongoing adjustment. The cost of sales as a proportion of sales as experienced
in the  periods  shown in 2000 and 1999 do not  necessarily  predict the cost of
sales that the Company might  experience  at such time, if any, that  production
level products begin to ship in normal production volumes.

<PAGE>7

Research and development

Research and development expense was approximately $471,000 in the first quarter
of 2000 as compared to  approximately  $369,000 in the same period of 1999.  The
increase in R&D expenditure  represents the Company's ongoing program to develop
its products to meet market opportunities. In addition, consistent with year end
1999,   certain  costs  associated  with  start-up   manufacturing  and  product
development are being treated as research and development expense.

Selling, general and administrative

Selling,  general and administrative  expenses were approximately  $1,025,000 in
the first  quarter of 2000 as compared to  approximately  $607,000  for the same
period of 1999.  Selling  and  marketing  expenses  increased  by  approximately
$108,000 or 38%  reflecting  the  Company's  ongoing plan to build a world-class
sales and marketing organization.  General and administrative expenses increased
by  approximately   $310,000  of  which   approximately   $300,000  was  due  to
compensation expense recognized upon issuance of stock options and warrants.

Interest expense, net of interest income

Interest expense net of interest income  increased to approximately  $937,000 in
the first  quarter of 2000 from  approximately  $659,000  for the same period in
1999.  The  increase  in the  current  period  is due to  recording  the cost of
warrants issued in connection with demand notes issued for borrowing purposes.

Liquidity and Capital Resources

Through March 31, 2000, the Company funded its operations  primarily through the
sale of stock and placement of debt.  On March 31, 2000,  the Company had a cash
balance of approximately $296,000 and a working capital deficit of approximately
$13,286,000.  This  compares with cash of  approximately  $303,000 and a working
capital deficit of approximately  $17,309,000 at December 31, 1999. The decrease
in working  capital  deficit is largely a result of the conversion of $4,690,000
of convertible debentures to equity less an increase in secured promissory notes
and other liabilities of approximately $550,000.

During the quarter  ended March 31,  2000,  the Company  borrowed an  additional
total of $975,000 from the investor who has previously funded the Company.  This
borrowing is evidenced  in the form of three notes.  The notes bear  interest at
13% and are due on demand. In conjunction with this funding,  the Company issued
the holder of the notes five year  warrants to purchase up to 487,500  shares of
Common Stock at prices ranging from $1.00 to $0.30 per share.

In  conjunction  with the borrowing of $975,000 in demand notes,  in the quarter
ending March 31,  2000,  the Company  issued  warrants to purchase up to 195,000
shares of the Company's  common stock at prices  ranging from $0.53 to $1.63 per
share to two brokers.

There can be no assurance  that the Company will be successful in its efforts to
internally  generate  the cash  that  will be  required  to fund  the  Company's
operations and to pay off the liabilities incurred in prior periods. In addition
if the Company's  products are successful,  the Company will require  additional
capital to fund growth.  In these  events,  the Company will require  additional
funding to finance its operations. Since December 1997, the Company has financed

<PAGE>8

its operations through the issuance of convertible  Debentures and demand notes,
but no assurance can be given that the Company will be able to secure additional
financing  or, if it can,  that it will be available  on terms  favorable to the
Company.

Impact of the Year 2000 Issue

The Company has experienced no disruptions in its operations that management can
attribute to Year 2000  software  issues.  In addition,  the Company has seen no
Year 2000 related  problems itself or received any reports of such problems from
its customers related to the Company's products.


PART II.  OTHER INFORMATION

Item 1.  Legal Proceedings.

        Swiss American Securities, Inc., et. al. On February 25, 2000, InnovaCom
filed suit  against  Swiss  American  Securities,  Inc.,  and five  other  stock
brokerages in the San Jose Division of the United  States  District  Court (Case
Number  C-0020214).  The  complaint  alleges that the  defendants in this action
guaranteed  improper  endorsements of stock  certificates  issued as part of the
reverse  merger of Jettson  Realty  Development  Corporation  and  InnovaCom,  a
Florida corporation,  in 1996. The Company's claims in this action were assigned
to  InnovaCom  by  Atlas as part of the  settlement  with  Atlas  in the  Haynes
litigation  discussed in the Company's  Form 10-KSB for the year ended  December
31, 1999.  The  litigation  is in its initial  stages and  discovery has not yet
begun.

Item 2.  Changes in Securities and Use of Proceeds. - Not Applicable

Item 3.  Defaults Upon Senior Securities. - Not Applicable

Item 4.  Submission of Matters to a Vote of Security Holders. - Not Applicable

Item 5.  Other Information. - Not Applicable

Item 6.  Exhibits and Reports on Form 8-K- Not Applicable

<PAGE>9

                                   SIGNATURES


In accordance with 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.

                                        INNOVACOM, INC.
                                        (Registrant)



Date:  May 5, 2000                      FRANK J. ALIOTO
                                        --------------------------------------
                                        Frank J. Alioto, President and
                                        Chief Executive Officer


Date:  May 5, 2000                      JAMES D. CASEY
                                        --------------------------------------
                                        James D. Casey, Chief Financial Officer