DCI TELECOMMUNICATIONS

                         611 Access Road
                       Stratford, CT 06615

                         (203) 380-0910

================================================================
February 16,2000

Securities and Exchange Commission
Attn: Document Control
Judiciary Plaza

450 Fifth Street, N.W.
Room 1004 1-4
Washington, DC 20549

RE: DCI Telecommunications, Inc.

Dear Sir/Madam:

Enclosed is Form 10QSB for the period ending December 31, 1999

Sincerely,

/s/Joseph J. Murphy

----------------
Chairman


<PAGE>




                      SECURITIES AND EXCHANGE COMMISSION
                          Washington, DC 20549

                               FORM 10 - QSB

                QUARTERLY REPORT UNDER REGULATION SB OF THE
                       SECURITIES EXCHANGE ACT OF 1934

For the Quarter Ended                        Commission File Number:
 December 31, 1999                                    2-96976-D

-----------------------                         ------------------

                      DCI TELECOMMUNICATIONS, INC.

       ------------------------------------------------------
       (Exact Name of Registrant as specified in its charter)

             COLORADO                            84-1155041

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

           611 Access Road, Stratford, Connecticut  06615

     -------------------------------------------------------------
           (Address and zip code of principal executive offices)

                              (203) 380-0910

                            -----------------
           (Registrant's telephone number, including area code)

Indicate by check mark whether the Registrant (1) has filed all reports required
by Regulation SB 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 the filing  requirements for at least the
past 90 days.

                      YES __X__              NO_____

Indicate the number of shares  outstanding  of each of the  issuer/s  classes of
common stock, as of the last practicable date:

Number of Shares Outstanding        Class               Date

----------------------------       -------           ----------
       30,775,644             Common Stock,       December 31, 1999
                             $.0001 par value



<PAGE>



                           DCI TELECOMMUNICATIONS, INC.

                                  Index

                          PART I FINANCIAL INFORMATION

ITEM 1. Financial Statements

       Balance Sheet December 31, 1999                             3

           Statements of Operations

        Nine Months Ended December 31, 1999 and 1998               5

           Statements of Cash Flow

        Nine Months Ended December 31, 1999 and 1998               7

       Notes to Unaudited Financial Statements

        December 31, 1999                                          9


ITEM 2.

       Management's Discussion and Analysis of

        Financial Condition and Results of Operations             10


                                     PART II

       Other Information                                          17

       Signatures                                                 19

                                  2


<PAGE>



                          DCI Telecommunications, Inc.
                           Consolidated Balance Sheet

                                   (unaudited)

                                                       December 31,

ASSETS                                                    1999

                                                          ----
Current assets:

Cash                                                  $ 1,221,432
Accounts receivable, net                                3,424,970
Other current assets                                      300,399
Inventory                                                  99,722
Due from shareholders                                      84,661
                                                        ---------
Total Current Assets                                    5,131,184

Fixed assets                                            1,632,161
Less: Accumulated depreciation                           (192,696)
                                                        ---------
Net Fixed Assets                                        1,439,465

Accounts receivable- long term                            972,201
Deposits                                                  148,573
Other assets                                               10,308

Cost in excess of assets acquired:
 Travel Source                                             89,379
 Muller Media                                           1,634,436
                                                        ---------
                                                        1,723,815
Less: Accumulated amortization:                          (134,671)
                                                        ----------
Net cost in excess of assets acquired                   1,589,144
                                                       -----------
Total Assets                                          $ 9,290,875
                                                       ==========

                                                         (continued)

                                        3

          See accompanying notes to consolidated financial statements.


<PAGE>



LIABILITIES AND SHAREHOLDERS' EQUITY                    December 31
                                                           1999

Current Liabilities:                                       ----

Accounts payable and accrued expenses                 $ 8,452,594
Preferred stock dividend                                  881,970
Due to shareholders                                       145,460
Current portion of long term debt                          75,997
Capital lease payable                                     289,828
Short term note payable                                    80,000
                                                       ----------
Total Current Liabilities                               9,925,849

Long-term debt                                          2,715,966
Accounts payable                                        1,147,463
Capital lease payable                                     558,031

Redeemable, convertible preferred stock,
$1,000 par and redemption
value, 2,000,000 shares authorized,
2,188 shares issued & outstanding                       2,187,500
                                                       ----------
Total Liabilities                                      16,534,809
                                                       ----------
Commitments and Contingencies

Common stock, $.0001 par value,
 500,000,000 shares authorized,
 30,775,644 shares issued and outstanding                   3,077
Paid-in capital                                        33,276,344
Treasury stock (1,356,547 shares at cost)              (1,127,439)
Accumulated deficit subsequent to 12/31/95,
 date of quasi-reorganization (total
 deficit eliminated  $4,578,587)                      (39,395,916)
                                                      -----------
Total Shareholders' Equity                             (7,243,934)
                                                      -----------
Total Liabilities and Shareholders' Equity            $ 9,290,875
                                                      ===========







                                 4

          See accompanying notes to consolidated financial statements.


<PAGE>



                          DCI Telecommunications, Inc.

                      Consolidated Statements of Operations

                                   (unaudited)

                                                     Nine Months Ended
                                                         December 31,

                                                      1999       1998

  Sales - travel                               $    908,363  $   937,295
  Sales - products                               10,824,755   26,045,792
                                                 ----------   ----------
  Net sales                                      11,733,118   26,983,087

  Cost of sales - travel                            796,835      850,919
                - product                        12,817,582   23,372,310
                                                 ----------   ----------
  Cost of sales                                  13,614,417   24,223,229

    Gross profit (loss)                          (1,881,299)   2,759,858

 Selling, general and
  administrative expenses                         1,301,096    1,802,018
 Salaries and
  compensation                                    1,570,384    1,774,990
 Professional and
  consulting fees                                 1,374,976      732,505
 Amortization and
  depreciation                                    1,913,608      661,928
                                                 ----------   ----------
                                                  6,160,064    4,971,441

 Loss before other (expense) income              (8,041,363)  (2,211,583)

Other income and (expense):
  EDGE goodwill write-off                        (6,480,048)          --
  Loss on master service
  agreement                                     (13,321,093)          --
  Gain on dissolution-foreign
  subsidiary                                      1,426,149           --
  Investment income                                 249,000      138,762
  Interest expense                               (1,593,040)     (83,162)
                                                 ----------    ---------
                                                (19,719,032)      55,600

                                                                 (continued)

                                        5


<PAGE>




Loss from continuing operations
  before minority
  interest                                      (27,760,395)  (2,155,983)

Minority interest                                        --      148,505
                                                 ----------   ----------
Loss from continuing
 operations                                     (27,760,395)  (2,007,478)

Discontinued operations

Loss from discontinued
 CyberFax operations
 (net of applicable income
  tax benefit of $0 in 1998)                             --     (285,173)
                                                 ----------   ----------
Net loss   before
 dividends on preferred
 stock                                          (27,760,395)  (2,292,651)
Dividends on preferred
 Stock                                             (133,870)    (902,851)
                                                 ----------   ----------
Net loss   applicable to
 common shareholders                           $(27,894,265) $(3,195,502)
                                                 ==========   ==========
Basic and diluted net loss per common shares:

Loss from continuing
 operations                                          $(0.92)   $   (0.14)
Loss from discontinued
 operations                                          $   --    $   (0.01)
                                                      ------     -------
Net loss per common
 share - basic and diluted                           $(0.92)   $   (0.15)
                                                      ======     =======
Weighted average common
 shares outstanding -
 basic and diluted                               30,242,819    21,369,670

                                        6

     See Accompanying Notes to Consolidated Financial Statements
<PAGE>


                           DCI Telecommunications, Inc
                      Consolidated Statements of Cash Flows

                                   (unaudited)

                                              Nine Months Ended
                                                December 31

                                               1999          1998
                                               ----          ----

Reconciliation of net loss to net
 cash used in operating activities:
Net loss from continuing operations       $(27,760,395) $(2,007,478)
                                            ----------   ----------
Adjustments to reconcile net loss from
continuing operations to net cash
  used in operating activities:

    Amortization and depreciation            1,913,608      697,608
    Discontinued operations                         --     (285,173)
    Minority interest                               --     (148,505)
    Write off of goodwill                    6,480,048           --
    Loss on master service agreement        13,321,093           --
    Gain on foreign subsidiary
    dissolution                             (1,426,149)          --
    Accrued interest converted to note       1,348,605           --

   Changes in assets and liabilities:
     (Increase) Decrease in:

    Restricted cash                                 --       60,246
    Accounts receivable                     (2,979,434)  (1,985,096)
    Inventory                                   20,111     (476,943)
    Deposits                                    75,534     (135,624)
    Prepaid expenses                                --     (313,062)
    Other current assets                        84,939           --

     Increase (Decrease):

    Accounts payable & accrued expenses      7,645,652      404,426
    Deferred revenue                          (267,943)     208,892
                                             -----------   ---------
Net Cash used in operating activites        (1,544,331)  (3,981,249)
                                            ------------  ----------


Cash flows from investing activities:

    Additions to fixed assets                 (202,361)    (565,872)
    Cash acquired with acquisitions                 --    1,548,947
    Investment in Muller Media                      --   (2,000,000)
    Disposal of property and equipment           6,277           --
                                            -----------  -----------
Net cash used in investing activities         (196,084)  (1,016,925)

                                  7                       (continued)
<PAGE>

Cash flows from financing activities:
    Proceeds from stock
        options exercised                       51,260      690,527
    Purchase of treasury stock                      --     (378,379)
    Payment of notes payable                  (550,000)  (4,938,942)
    Increase in long term debt                      --       93,226
    Proceeds from sale of preferred
        stock                                       --    2,750,000
    Due to joint venture                            --      644,451
    Net payments to shareholders               (47,070)          --
    Advances from shareholders                      --     (375,870)
    Proceeds from issuance
       of notes payable                      1,930,000           --
    Payment of long-term debt                  (53,529)          --
    Sale of equity securities                       --    8,124,761
    Common dividend                                 --     (203,962)
                                             ---------    ----------
Net cash from financing activities           1,330,661    6,405,812
                                            ----------    ----------

Net (decrease) increase in cash               (409,754)   1,407,638

Cash, beginning of period                    1,631,186      704,991
                                             ---------    ----------
Cash, end of period                       $  1,221,432  $ 2,112,629
                                             ---------    ----------

Supplemental disclosures of cash flow information:

Cash paid for interest                    $   44,435    $    83,000

  Non-cash investing and financing
     transactions:

      Acquisitions by stock
          Edge Communications             $       --   $  6,823,586
      Preferred stock dividends           $  133,870   $    902,851
      Stock issued for other assets       $   40,000   $         --
      Assets acquired by lease            $  705,757   $         --



                                        8

          See accompanying notes to consolidated financial statements.


<PAGE>



DCI Telecommunications, Inc.

Notes to Unaudited Financial Statements December 31, 1999

NOTE 1.
-------

The accompanying unaudited financial statements have been prepared in accordance
with generally accepted accounting  principles for interim financial information
and with the provisions of Regulation SB.  Accordingly,  they do not include all
of the  information  and  footnotes  required by generally  accepted  accounting
principles for complete financial statements. In the opinion of management,  all
adjustments  (consisting of normal recurring  adjustments)  considered necessary
for a fair presentation have been included.  Certain  restatements of prior year
numbers  have been made to conform to the  current  years  presentations  and to
account for discontinued operations.

The consolidated  financial  statements  include the accounts of the Company and
its wholly and majority owned subsidiaries.  Material inter-company balances and
transactions have been eliminated in consolidation.

The  results  of  operations  for the  periods  presented  are  not  necessarily
indicative  of the results to be expected  for the full year.  The  accompanying
financial  statements  should be read in  conjunction  with the  Company's  form
10-KSB filed for the year ended March 31, 1999.

Loss per share was computed  using the weighted  average number of common shares
outstanding.

NOTE 2.  Common and Preferred Stock
-----------------------------------

During the nine  months  ended  December  31,  1999,  the holders of $125,000 of
preferred  shares of Series F  Convertible  Preferred  Stock were  converted  to
306,386 common shares.  Interest and penalties  totaling $170,000 were converted
into 625,276 common shares.

On  November  12,  1999,  the  Company  received  $1,000,000,  as  part of a new
financing  package.  An  existing  loan  of  $400,000,  interest  and  penalties
associated  with the Series F Preferred Stock totaling  $1,348,605,  and the new
$1,000,000  proceeds  advanced,  are all  included  in new five year  notes with
interest at six percent per annum.  In addition the Company  issued  warrants to
purchase up to an  aggregate  of 566,667  shares of its common stock at $.75 per
share. The lenders have various methods of redemption to choose from,  including
cash from VAT refunds from the United  Kingdom,  a portion of the cash  proceeds
from the possible sale of Muller Media if any,  redemption into DCI common stock
at $0.25 per share subject to certain  conditions or the redemption  into common
stock from the  possible  spinoff  of DCI's  Fone.com  subsidiary  into a public
entity.  A majority of the remaining  Series F Convertible  Preferred  Stock can
also be converted at these same terms.

In addition, options to purchase 2,200 common shares were exercised,  during the
last nine months.

                                        9


<PAGE>

NOTE 3. EDGE Goodwill Write-off.
--------------------------------

In December 1999, the Company evaluated the  recoverability of goodwill from the
acquisition  of  EDGE  Communications  by  the  Company.  As a  result  of  such
evaluation the Company has written off the remaining goodwill of $6,480,048

                     Management's Discussion and Analysis of
                  Financial Condition and Results of Operations

Overview
--------

The following  discussion  and analysis  provides  information  that  management
believes   is   relevant   to   an   assessment   and   understanding   of   DCI
Telecommunications,  Inc.  and its  subsidiaries  (collectively,  the  Company),
consolidated  results of operations and financial  condition for the nine months
ended December 31, 1999. The discussion  should be read in conjunction  with the
Company's consolidated financial statements and accompanying notes.

The Company operates predominantly in the telecommunications  industry providing
a range of communication  service. The Company's services include long distance,
prepaid  phone cards,  motion  picture  distribution  and a travel  agency.  The
Company is attempting to expand its business into rapidly  developing markets in
Europe.

Recent Dispositions
---------------------

DCI Europe Limited
------------------

On September  1, 1999,  DCI Europe  Limited (a  subsidiary  of DCI  subsequently
renamed  Gloucester  Communications  Limited)  was  placed  in  liquidation.  At
September  30, 1999,  the  remaining  assets and  liabilities  were written off,
resulting  in a  $1,426,149  gain which is  included  in the  December  31, 1999
Statement of Operations.


Master Service Agreement Write Off
----------------------------------

As more fully  described in footnotes to Financial  Statements  in the March 31,
1999 Form 10K,  on December  3, 1998 the  Company  and IXC  Communications  Inc,
entered into a stock acquisition agreement whereby IXC received 3,750,000 shares
of   DCI  common  stock in  return  for a Master  Service  Agreement  valued  at
$15,671,875.

As of September 30, 1999,  the Company has suspended all business with IXC. As a
result,  the  Company  has  written  off the  remaining  unamortized  investment
totaling $13,321,093 at September 30, 1999.

The Company is currently in discussion with IXC to resolve any and all remaining
issues.

                                      10
<PAGE>

EDGE Goodwill Write-off
-----------------------
In December 1999, the Company evaluated the  recoverability of goodwill from the
acquisition  of  EDGE  Communications  by  the  Company.  As a  result  of  such
evaluation the Company has written off the remaining goodwill of $6,480,048

Liquidity and Capital Resources
-------------------------------

At  December  31,  1999  the  Company  had  unrestricted  cash of  approximately
$1,221,000. Net cash declined $ 410,000 during the last six months. Cash used in
operating  activities  was about  $1,544,000  and cash  invested in fixed assets
totaled $ 202,000

The Company supported those needs by raising  $1,930,000 from issuance of notes,
of which $550,000 was paid back by December 31, 1999.

The write off of the Master  Service  Agreement,  $13,321,000,  the write off of
$6,480,000 of EDGE  goodwill,  and the  $1,426,000  gain on  dissolution  of DCI
Europe were all non-cash transactions and had no impact on liquidity.

The Company is planning  on further  expansion  in Europe and the ability of the
Company to finance all new and existing  operations will be heavily dependent on
external  sources.  No assurance can be given that additional  financing will be
available or, if available, that will be on acceptable terms.

Year 2000 Issues
----------------

The Year 2000 issue is the result of computer  programs  being written using two
digits  rather  than  four to  define  the  applicable  year.  In  other  words,
date-sensitive  software may recognize a date using "00" as the year 1900 rather
than the year 2000.  This could  result in system  failures  or  miscalculations
causing  disruptions  of  operations,   including,  among  others,  a  temporary
inability to process  transactions,  send  invoices or engage in similar  normal
business activities.

COMPANY'S STATE OF READINES
-----------------------------------------------------------

One of the  Company's  critical  internal  areas is its  information  technology
systems,  including general ledger, accounts receivable,  payable, inventory and
related  packages  for DCI and each of its  subsidiaries.  In this  regard,  the
parent  Company has  installed  new software  and has  installed or upgraded the
financial systems in each of its subsidiaries to be year 2000 compliant.

                                       11
<PAGE>

All of the  Company-owned  switches,  used to direct and monitor  long  distance
telephone  traffic,   currently  are  Year  2000  compliant   according  to  the
manufacturer.

The Company also has relationships  with outside third parties that could impact
its business.  The most  important are the carriers that process and monitor the
Company's long distance and prepaid phone card calls. All the carriers expect to
be Year 2000  compliant and are in various  stages of  readiness.  The Company's
travel  business  is  partially  dependent  on  an  outside  reservation  system
representing many airlines which is Year 2000 compliant.

COSTS
----------

The Company has  addressed  Year 2000 issues  in-house and, at the present time,
there are no other anticipated costs. Total costs were approximately $ 45,000.



RISK
----

The  Company  believes  that its most  reasonable  likely  worst-case  Year 2000
scenario  would be if any of its third party long  distance  telephone  carriers
were  unable to properly  monitor or admit  authorized  personal  identification
numbered prepaid phone card calls through their systems.

The time frame for the carrier to fix the problem, or the ability of the Company
to recall  prepaid  phone cards and switch to another  carrier with  competitive
rates, could cause a material business interruption.

The risks associated with the failure of the Company's  financial  software,  or
third party payroll  preparation and stock transfer system,  are considered less
severe in that the Company  believes  switching to other  vendors or using other
methods would be relatively easy.

The risk of failure of the third party  airline  reservation  system is that the
Company  would have to secure its travel  arrangements  by methods that would be
more cumbersome and time-consuming than the current automated system.

CONTINGENCY PLAN
----------------

Neither  the  Company  nor  any  third   parties  with  whom  we  have  material
relationships,  suffered any significant adverse consequences resulting from the
transition  to Year 2000.  However,  it is  possible  that  companies  including
ourselves and our third-party contractors, will suffer adverse

                                       12
<PAGE>

Year  2000  consequences  over the near  term.  In order to  minimize  potential
adverse  effects,  we have designated  experienced  personnel and consultants to
identify,  correct,  test and implement solutions to Year 2000 problems,  if and
when they arise.  The Company has not established any other  contingency plan to
address Year 2000 issues  should they arise,  and the Company does not intend to
do so.

Cautionary Statement for Purposes of the "Safe Harbor" Provisions of the Private
Securities Litigation Reform Act of 1995
--------------------------------------------------------------------------------

This report  contains or incorporates  by reference  forward-looking  statements
within the  meaning of the  Private  Securities  Litigation  Reform Act of 1995.
Where any such forward-looking statement includes a statement of the assumptions
or bases underlying such  forward-looking  statement,  the Company cautions that
assumed  facts or bases  almost  always  vary from the actual  results,  and the
differences  between  assumed facts or bases and actual results can be material,
depending upon the circumstances.  Where, in any forward-looking  statement, the
Company  or its  management  expresses  an  expectation  or  belief as to future
results,  there can be no assurance  that the statement of expectation or belief
will result or be  achieved  or  accomplished.  The words  "believe",  "expect",
"estimate",   "anticipate",  "project"  and  similar  expressions  may  identify
forward-looking statements.

Consolidated Results of Operations
----------------------------------
                                          Nine months Ended

                                            December 31,

                                           1999     1998
                                           ----     ----
Net Sales                            $ 11,733,118   $26,983,087
--------

Net sales  declined $ 15,250,000  in the nine months  ending  December 31, 1999,
compared to the same period a year ago.  Sales of Edge  Communications  declined
$15,234,000 during this period, principally as a carryover result of shutdown of
prepaid phone cards during the last fiscal year. Due to this shutdown, Edge lost
5 of its top 10 customers,  and has incurred a loss at the gross margin level in
its efforts to regain market  share.  Sales also declined $ 3,624,000 due to the
absence of the Phoneline joint venture, which was written off on March 31, 1999,
but this was almost offset by increased sales in Europe, principally in England.

                                           1999     1998
                                           ----     ----
Cost of Sales                        $ 13,614,417   $24,223,229
-------------
                                       13
<PAGE>

Cost of sales declined  $10,609,000 in the first nine months  compared to a year
ago. Edge cost of sales dropped $10,721,000 and Phoneline dropped $3,123,000 due
to the situations  described above.  However,  the costs of sales Edge did incur
was higher than the original sales price and resulted in a negative gross margin
for the  company as a whole.  Higher  cost of sales in Europe,  associated  with
higher sales, principally accounts for the reminder of the variance.

                                           1999     1998
                                           ----     ----
Selling, General & Administration
Expense                              $  1,301,096   $ 1,802,018
---------------------------------

Selling,  general and administrative  expenses declined $501,000, in the current
period compared to last year's nine month period.

The  absence  of  Phoneline  Canadian  operations  which were  closed  last year
accounted  for  a reduction in  administrative  expenses  totaling $ 374,000.  A
$209,000 reduction at EDGE due to much lower activity was offset by increases in
European operations

                                           1999     1998
                                           ----     ----
Salaries and Compensation            $  1,570,384   $ 1,774,990
-------------------------

Salaries have  declined  $205,000 in the nine months  December 1999 period.  The
absence of the Phoneline Joint Venture  resulted in a $205,000  decline.  Modest
increases and declines in other companies offset each other.

                                           1999     1998
                                           ----     ----
Professional and Consulting Fees     $  1,374,976   $   732,505
--------------------------------

Professional fees increased  $642,000 in the current nine months period. A legal
matter involving Edge's carrier service and switching equipment,  the successful
defense of two lawsuits  against DCI, and legal and accounting  costs associated
with the Securities  and Exchange  Commission  investigation  of the Company and
corresponding  restatements  of financial  statements,  are the main reasons for
this unfavorable variance.

                                           1999     1998
                                           ----     -----
Amortization and Depreciation        $  1,913,608   $   661,928
-----------------------------

                                       14
<PAGE>

Amortization  and  depreciation  increased  $1,251,680  over the prior year nine
months period. Amortization of the Master Service Agreement through September 30
totaled $1,567,000 ($0 in prior year).  Partially offsetting this is the absence
of amortization of goodwill  associated with the now closed Canadian  operations
totaling  $150,000.  Depreciation  declines  resulting  from  closed  operations
principally account for the remaining variance.

                                           1999     1998
                                           ----     ----
Loss on Master Service Agreement     $(13,321,093) $   -0-
--------------------------------
This  represents the write off of the remaining net value assigned to the Master
Service  Agreement  purchased with DCI common stock in the last fiscal year. The
Company  has suspended operations with the carrier.

                                           1999     1998
                                           ----     -----
 EDGE Goodwill Write-off             $ (6,980,048) $   -0-
------------------------

This represents the write off of the remaining  goodwill of EDGE  Communications
as a result of a recoverability analysis based on future income generation.

                                           1999     1998
                                           ----     -----
Gain on Dissolution -Foreign
Subsidiary                           $  1,426,749  $   -0-
----------------------------

A petition for issuance of an  Involuntary  Winding Up Order was issued  against
one of the Company's  subsidiaries  in Great Britain.  The gain is the result of
the remaining  liabilities  exceeding assets due to the large bad debt provision
on March 31, 1999

                                           1999     1998
                                          -----     ----
Investment Income                    $    249,000  $    138,762
Interest Expense                     $ (1,593,040) $    (83,162)
-----------------

The entire  investment  income of $ 249,000 in 1999 is the result of income from
Muller Media which included all nine months in 1999 and a little less than seven
months in 1998. (Acquired June 9, 1998)

The increase in interest  expense of  $1,510,000  is  principally  the result of
interest and penalties associated with the inability of Series F

                                       15
<PAGE>

Preferred  holders to convert to common and was  converted to a note in November
1999.

                                           1999     1998
                                           ----     ----
Discontinued operations - CyberFax   $      -0-    $   (285,173)
----------------------------------

Since  CyberFax  was  sold on March  30,  1999 and  classified  as  discontinued
operations, the $285,000 loss in 1998 first nine months has been reclassified as
discontinued operations.




























                                      16


<PAGE>




                                     PART II

                                OTHER INFORMATION

ITEM 1.  LEGAL PROCEEDINGS.
          Not applicable.

ITEM 2.  CHANGES IN SECURITIES.
          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.
          Page 18

                                       17


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ITEM 6 - Exhibits and Reports on Form 8K

1. Changes in  Registrant's  Certifying  Accountant as filed on Form 8K, Oct 11,
1999,  and as amended on Form 8K/A,  October 26,  1999,  and further  amended on
November 8, 1999

2. Changes in Registrant's  Certifying  Accountant as filed on form 8K, November
15, 1999.

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                            SIGNATURES

Pursuant  to the  requirements  of the  Securities  Exchange  Act of  1934,  the
Registrant  has duly  caused  this  report  to be  signed  on its  behalf by the
undersigned thereunto duly authorized.

                                    DCI TELECOMMUNICATIONS, INC.

                                          (Registrant)

Dated: February 16, 2000            By: /s/John J. Adams
                                        --------------------
                                        John J. Adams
                                        Co-President

                                        By: /s/Larry Shatsoff
                                        ---------------------
                                        Larry Shatsoff
                                        Co-President

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