**UNITED      STATES **

**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 January                31, 2008                                   |
|         |                                                                                                            |
| o            | TRANSITION                REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT                       |
|    | For                the transition period from ______________ to _____________                                   |
|         |                                                                                                            |
|    | Commission                file number                                                                           | 000-27397 |

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| Nevada                                                                                       |   | 98-0204280                                          |
|----------------------------------------------------------------------------------------------|--------|-----------------------------------------------------|
| (State                or other jurisdiction of incorporation or                organization) |   | (I.R.S.                Employer Identification No.) |

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| 89146                        |   | (310)                857-6666              |
|------------------------------|--------|--------------------------------------------|
| (Postal                Code) |   | (Issuer's                telephone number) |

| Transitional                Small Business Disclosure Format (Check one): | Yes                 o | No                x |
|---------------------------------------------------------------------------|----------------------------|---------------------|

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|                                                                                                                                                                                         |   | 1/31/2008 |         | 4/30/2007 |   |
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|-----------|--------------|-----------|--------|
| ASSETS                                                                                                                                                                                       |   |      |         |      |   |   |   |
| Current                assets                                                                                                                                                                |   |      |         |      |   |   |   |
| Cash                                                                                                                                                                                         |   | $         | 295,687      |      | $      | 22,847 |   |
| Restricted                cash - escrow                                                                                                                                                      |   |      |         |      |   | 339,758 |   |
| Accounts                receivables                                                                                                                                                          |   |      | 2,472,877    |      |   | 208,408 |   |
| Inventory                                                                                                                                                                                    |   |      | 334,085      |      |   | - |   |
| Prepaid                and other current assets                                                                                                                                              |   |      | 28,751       |      |   | - |   |
|                                                                                                                                                                                         |   |      |         |      |   |   |   |
| Total                current assets                                                                                                                                                          |   |      | 3,131,400    |      |   | 571,013 |   |
|                                                                                                                                                                                         |   |      |         |      |   |   |   |
| Fixed                assets                                                                                                                                                                  |   |      | 166,692      |      |   | 1,039 |   |
| Goodwill                                                                                                                                                                                     |   |      | 4,711,572    |      |   | - |   |
| Deposit                on acquisition of Desert                                                                                                                                              |   |      |    |      |   | - |   |
|                                                                                                                                                                                         |   |      |         |      |   |   |   |
| Total                assets                                                                                                                                                                  |   | $         | 8,009,664    |      | $      | 572,052 |   |
|                                                                                                                                                                                         |   |      |         |      |   |   |   |
| LIABILITIES                AND STOCKHOLDERS' DEFICIT                                                                                                                                         |   |      |         |      |   |   |   |
|                                                                                                                                                                                         |   |      |         |      |   |   |   |
| Current                liabilities                                                                                                                                                           |   |      |         |      |   |   |   |
| Accounts                payable                                                                                                                                                              |   | $         | 1,410,032    |      | $      | 532,962 |   |
| Accrued                liabilities                                                                                                                                                           |   |      | 221,478      |      |   | 5,811 |   |
| Current                maturities of long-term debt                                                                                                                                          |   |      | 4,435,395    |      |   | 662,690 |   |
| Deferred                income                                                                                                                                                               |   |      | 390,568      |      |   |   |   |
| Short                term debt                                                                                                                                                               |   |      | 99,160       |      |   | - |   |
|                                                                                                                                                                                         |   |      |         |      |   |   |   |
| Total                current liabilities                                                                                                                                                     |   |      | 6,556,633    |      |   | 1,201,463 |   |
|                                                                                                                                                                                         |   |      |         |      |   |   |   |
| Long                term debt - net of current maturities                                                                                                                                    |   |      | 1,724,468    |      |   | 439,545 |   |
|                                                                                                                                                                                         |   |      |         |      |   |   |   |
| Total                liabilities                                                                                                                                                             |   |      | 8,281,101    |      |   | 1,641,008 |   |
|                                                                                                                                                                                         |   |      |         |      |   |   |   |
| Stockholders'                deficit                                                                                                                                                         |   |      |         |      |   |   |   |
| Convertible                preferred stock, $0.001 par value; 25,000,000 shares                authorized; none issued and outstanding                                                       |   |      |         |      |   |   |   |
| Common                stock, $0.001 par value; 3,000,000,000 shares authorized; 949,217,911                shares and 725,524,208 shares issued and outstanding,                respectively |   |      | 949,219      |      |   | 725,524 |   |
| Additional                paid-in capital                                                                                                                                                    |   |      | 367,803      |      |   | (1,203,291 | ) |
| Retained                deficit                                                                                                                                                              |   |      | (1,588,459   | )         |   | (591,189 | ) |
|                                                                                                                                                                                         |   |      |         |      |   |   |   |
| Total                stockholders' deficit                                                                                                                                                   |   |      | (271,437     | )         |   | (1,068,956 | ) |
|                                                                                                                                                                                         |   |      |         |      |   |   |   |
| Total                liabilities and stockholders' deficit                                                                                                                                   |   | $         | 8,009,664    |      | $      | 572,052 |   |

----

|                                                        |   | Three                  Months Ended |        | Nine                  Months Ended |   |
|-------------------------------------------------------------|--------|-------------------------------------|-------------|------------------------------------|--------|
|                                                        |   | 01/31/08                            |        | 01/31/07                           |   | 01/31/08 |   | 01/31/07 |   |
|                                                        |   |                                |        |                               |   |   |   |   |   |
| Revenues                                                    |   | $                                   | 1,018,853   |                               | $      | 575,652 |   | $ | 1,494,919 |   | $ | 978,757 |   |
|                                                        |   |                                |        |                               |   |   |   |   |   |   |   |   |   |
| Cost                  of revenues                           |   |                                | (676,320    | )                                  |   | (473,055 | ) |   | (886,838 | ) |   | (408,197 | ) |
| Operating                  expenses                         |   |                                | (752,705    | )                                  |   | (254,104 | ) |   | (1,007,178 | ) |   | (412,724 | ) |
|                                                        |   |                                |        |                               |   |   |   |   |   |   |   |   |   |
| Operating                  loss                             |   |                                | (410,172    | )                                  |   | (151,507 | ) |   | (399,097 | ) |   | 157,836 |   |
|                                                        |   |                                |        |                               |   |   |   |   |   |   |   |   |   |
| Other                  income (expense):                    |   |                                |        |                               |   |   |   |   |   |   |   |   |   |
| Loss                  on exchange of business assets        |   |                                | -           |                               |   | (1,226,061 | ) |   | - |   |   | (1,226,061 | ) |
| Interest                  income                            |   |                                | -           |                               |   | - |   |   | - |   |   | - |   |
| Interest                  expense                           |   |                                | (441,022    | )                                  |   | (20,490 | ) |   | (598,170 | ) |   | (20,273 | ) |
|                                                        |   |                                |        |                               |   |   |   |   |   |   |   |   |   |
| Income                  (loss) from continuing operations   |   |                                | (851,194    | )                                  |   | (1,398,058 | ) |   | (997,267 | ) |   | (1,088,498 | ) |
|                                                        |   |                                |        |                               |   |   |   |   |   |   |   |   |   |
| Loss                  from discontinued operations          |   |                                | -           |                               |   | (38,124 | ) |   | - |   |   | 84,888 |   |
|                                                        |   |                                |        |                               |   |   |   |   |   |   |   |   |   |
| Net                  income (loss)                          |   | $                                   | (851,194    | )                                  | $      | (1,436,182 | ) | $ | (997,267 | ) | $ | (1,003,610 | ) |
|                                                        |   |                                |        |                               |   |   |   |   |   |   |   |   |   |
| Basic                  and diluted income (loss) per share: |   |                                |        |                               |   |   |   |   |   |   |   |   |   |
|                                                        |   |                                |        |                               |   |   |   |   |   |   |   |   |   |
| From                  continuing operations                 |   | $                                   | (0.00       | )                                  | $      | (0.02 | ) | $ | (0.00 | ) | $ | (0.02 | ) |
| From                  discontinued operations               |   |                                | -           |                               |   | (0.00 | ) |   | - |   |   | 0.00 |   |
| Total                                                       |   |                                | (0.00       | )                                  |   | (0.02 | ) |   | (0.00 | ) |   | (0.01 | ) |
|                                                        |   |                                |        |                               |   |   |   |   |   |   |   |   |   |
| Weighted                  average common shares             |   |                                | 758,682,436 |                               |   | 70,288,450 |   |   | 737,431,815 |   |   | 70,288,450 |   |
|                                                        |   |                                |        |                               |   |   |   |   |   |   |   |   |   |

----

|                                                                                                          |   | 01/31/08 |       | 01/31/07 |   |
|---------------------------------------------------------------------------------------------------------------|--------|----------|------------|----------|--------|
|                                                                                                          |   |     |       |     |   |
| CASH                  FLOWS OPERATING ACTIVITIES                                                              |   |     |       |     |   |   |   |
| Net                  loss                                                                                     |   | $        | (997,267   | )        | $      | (1,003,610 | ) |
| Add:                  income (loss) from discontinued operations                                              |   |     | -          |     |   | (84,888 | ) |
|                                                                                                          |   |     |       |     |   |   |   |
| Loss                  from continuing operations                                                              |   |     | (997,267   | )        |   | (1,088,498 | ) |
|                                                                                                          |   |     |       |     |   |   |   |
| Fair                  value of shares issued for interest expense                                             |   |     | 268,444    |     |   | - |   |
| Management                  fee expense carried as related party note payable                                 |   |     | 45,000     |     |   | - |   |
| Depreciation                  and amortization expense                                                        |   |     | 208,690    |     |   | - |   |
| Changes                  in operating assets and liabilities:                                                 |   |     |       |     |   |   |   |
| Increase                  (decrease) in A/P and accrued expenses                                              |   |     | 829,139    |     |   | (211,747 | ) |
| Decrease                  (increase) in accounts receivable                                                   |   |     | 146,246    |     |   | 342,691 |   |
| Increase                  (decrease) in deferred income                                                       |   |     | 390,568    |     |   | (157,622 | ) |
| Increase                  (decrease) in inventory                                                             |   |     | (27,952    | )        |   | - |   |
| Decrease                  (increase) in prepaid expense and other current assets                              |   |     | 317,776    |     |   | - |   |
|                                                                                                          |   |     |       |     |   |   |   |
| Net                  cash provided by (used in) operating activities - continuing                  operations |   |     | 1,180,644  |     |   | (1,115,176 | ) |
|                                                                                                          |   |     |       |     |   |   |   |
| CASH                  FLOW INVESTING ACTIVITIES                                                               |   |     |       |     |   |   |   |
| Purchase                  of Desert Communications                                                            |   |     | (3,725,000 | )        |   | - |   |
| Purchase                  of Right-Tag                                                                        |   |     | (325,000   | )        |   | - |   |
| Receipt                  of funds for loans receivable                                                        |   |     | -          |     |   | 73,259 |   |
| Purchase                  of fixed assets                                                                     |   |     | (2,215     | )        |   | (3,055 | ) |
|                                                                                                          |   |     |       |     |   |   |   |
| Net                  cash provided by (used in) investing activities - continuing                  operations |   |     | (4,052,215 | )        |   | 70,204 |   |
|                                                                                                          |   |     |       |     |   |   |   |
| CASH                  FLOW FINANCING ACTIVITIES                                                               |   |     |       |     |   |   |   |
| Proceeds                  from notes payable                                                                  |   |     | 3,920,510  |     |   | 678,254 |   |
| Capital                  contributions                                                                        |   |     | 15,520     |     |   | - |   |
| Repayment                  of notes payable                                                                   |   |     | (791,619   | )        |   | (11,938 | ) |
|                                                                                                          |   |     |       |     |   |   |   |
| Net                  cash provided by (used in) financing activities - continuing                  operations |   |     | 3,144,411  |     |   | 666,316 |   |
|                                                                                                          |   |     |       |     |   |   |   |
| NET                  CASH PROVIDED BY (USED IN) CONTINUING OPERATIONS                                         |   |     | 272,840    |     |   | (378,656 | ) |
| NET                  CASH PROVIDED BY DISCONTINUED OPERATIONS                                                 |   |     | -          |     |   | - |   |
|                                                                                                          |   |     |       |     |   |   |   |
| NET                  CHANGE IN CASH                                                                           |   |     | 272,840    |     |   | (378,656 | ) |
| CASH                  AT BEGINNING OF PERIOD                                                                  |   |     | 22,847     |     |   | 379,600 |   |
|                                                                                                          |   |     |       |     |   |   |   |
| CASH                  AT END OF PERIOD                                                                        |   | $        | 295,687    |     | $      | 944 |   |
|                                                                                                          |   |     |       |     |   |   |   |
| SUPPLEMENTAL                  INFORMATION:                                                                    |   |     |       |     |   |   |   |
| Interest                  paid                                                                                |   | $        | -          |     | $      | - |   |
| Income                  tax paid                                                                              |   |     | -          |     |   | - |   |
|                                                                                                          |   |     |       |     |   |   |   |
| NON-CASH                  INVESTING AND FINANCING ACTIVITIES                                                  |   |     |       |     |   |   |   |
| Shares                  issued for conversion of loans                                                        |   | $        | 692,324    |     | $      | - |   |
| Shares                  issued for accounts payable - related parties                                         |   |     | 57,250     |     |   | - |   |
| Discount                  on notes payable from related parties -BCF                                          |   |     | 54,427     |     |   | - |   |
| Discount                  on notes payable from related parties -Warrants                                     |   |     | 541,628    |     |   | - |   |
| Net                  liabilities assumed under the Right-Tag Acquisition                                      |   |     | 111,572    |     |   | - |   |
| Net                  assets acquired under the Desert Acquisition                                             |   |     | 1,662,326  |     |   | - |   |
| Seller                  financing of Desert Acquisition                                                       |   |     | 2,475,000  |     |   | - |   |

----

**INOVA      TECHNOLOGY INC. and SUBSIDIARIES**

**NOTES      TO THE CONSOLIDATED FINANCIAL STATEMENTS**

**(Unaudited)**

**NOTE      1 - BASIS OF PRESENTATION**

**Goodwill      and Intangible Assets**

**NOTE      2 - GOING CONCERN**

**NOTE      3 - PURCHASE OF RIGHT TAG AND DESERT COMMUNICATIONS**

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| Cash                                 |   | $      | 646     |   |
|-------------------------------------------|--------|--------|---------|--------|
| Accounts                receivable   |   |   | 4,020   |   |
| Inventory                            |   |   | 12,850  |   |
| Prepaid                expense       |   |   | 115     |   |
| Goodwill                             |   |   | 436,572 |   |
| Accounts                payable      |   |   | (28,231 | )      |
| Accrued                liabilities   |   |   | (1,812  | )      |
| Shareholder                loans     |   |   | (99,160 | )      |
|                                 |   |   |         |   |
| Total                                |   | $      | 325,000 |   |

| Cash                                                    |   | $      | 2,222,632  |   |
|---------------------------------------------------------|--------|--------|------------|--------|
| Accounts                receivable                      |   |   | 2,406,695  |   |
| Inventory                                               |   |   | 293,283    |   |
| Prepaid                expense                          |   |   | 6,654      |   |
| Fixed                assets                             |   |   | 167,139    |   |
| Goodwill                                                |   |   | 4,275,000  |   |
| Accounts                Payable and accrued liabilities |   |   | (3,434,077 | )      |
|                                                    |   |   |            |   |
| Total                                                   |   | $      | 5,937,326  |   |

----

|                                                       |   | **(Proforma)****Nine                Months****Ended****January                31,****2008**  |        |  **(Proforma)****Nine                Months** **Ended** **January                31,****2007**                    |   |
|-------------------------------------------------------------------------------------------------------------------|--------|---------------------------------------------------------------------------------------------------|-------------|-------------------------------------------------------------------------------------------------------------------------------------------------|--------|
| Revenues                                                                                                          |   | $                                                                                                 | 11,099,452  |                                                                                                                                            | $      | 12,925,458 |   |
| Income                (Loss) from continuing operations                                                           |   |                                                                                              | (125,444    | )                                                                                                                                               |   | 761,675 |   |
| Loss                from discontinued operations                                                                  |   |                                                                                              | -           |                                                                                                                                            |   |   |   |
| Net                income                                                                                         |   |                                                                                              | (125,444    | )                                                                                                                                               |   | 761,675 |   |
| Basic                and diluted net income per share from continuing                operations                   |   | $                                                                                                 | (0.00       | )                                                                                                                                               | $      | 0.00 |   |
| Basic                and diluted net income (loss) per share from discontinued                operations          |   |                                                                                              | (0.00       | )                                                                                                                                               |   | 0.00 |   |
| Basic                and diluted net income per share                                                             |   |                                                                                              | (0.00       | )                                                                                                                                               |   | 0.00 |   |
| Weighted                average common shares                                                                     |   |                                                                                              | 737,431,815 |                                                                                                                                            |   | 70,288,450 |   |

**NOTE      4 – LOANS FROM RELATED PARTIES**

----

| Carrying                amount of notes on April 30, 2007                            |   | $      | 1,102,235 |   |
|--------------------------------------------------------------------------------------|--------|--------|-----------|--------|
|     Add:                gross proceeds from notes                |   |   | 318,396   |   |
|     Additional                interest accrued                   |   |   | 53,231    |   |
|     Less:                beneficial conversion feature           |   |   | (54,427   | )      |
|     Less:                relative fair value of warrants granted |   |   | (54,428   | )      |
|     Less:                repayments of notes                     |   |   | (394,324  | )      |
|     Less:                repayments of notes by share issuances  |   |   | (857,520  | )      |
|     Add:                amortization of discounts                |   |   | 108,855   |   |
|                                                                                 |   |   |           |   |
| Carrying                amount of notes on January 31, 2008                          |   | $      | 222,018   |   |

**NOTE      5 - NOTES PAYABLE**

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** **
** **

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| Carrying                amount of notes on April 30, 2007                            |   |    |            |   |
|--------------------------------------------------------------------------------------|--------|---------|-----------------|--------|
|     Add:                gross proceeds from notes                |   | $       | 1,792,000       |   |
|     Less:                relative fair value of warrants granted |   |    | (487,200        | )      |
| Add:                amortization of discount                                         |   |    |  96,133    |   |
|                                                                                 |   |    |                 |   |
| Carrying                amount of notes on January 31, 2008                     |   | $  |  1,400,933 |   |

**NOTE      6 - COMMON STOCK**

**NOTE      7 - COMMITMENT AND CONTINGENCIES**

**The      Kim’s litigation:**

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**The      Top Layer Networks litigation:**

**The      Roy litigation:**

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*“forward      looking statements.” *

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**Item      3. Controls and Procedures**

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**PART      II**

**Item      1. Litigation**

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

**Item      3. Defaults Upon Senior Securities**

**Item      4. Other Information**

| Cash                                                    |   | $      | 2,222,632  |   |
|---------------------------------------------------------|--------|--------|------------|--------|
| Accounts                receivable                      |   |   | 2,406,695  |   |
| Inventory                                               |   |   | 293,283    |   |
| Prepaid                expense                          |   |   | 6,654      |   |
| Fixed                assets                             |   |   | 167,139    |   |
| Goodwill                                                |   |   | 4,275,000  |   |
| Accounts                Payable and accrued liabilities |   |   | (3,434,077 | )      |
|                                                    |   |   |       |   |
| Total                                                   |   | $      | 5,937,326  |   |

----

|                                                                      |   | **(Proforma)****Nine                  Months****Ended****January                  31,****2008** |        |  **(Proforma)****Nine                  Months** **Ended** **January                  31,****2007** |   |
|--------------------------------------------------------------------------------------------------------------|--------|-------------------------------------------------------------------------------------------------|-------------|-------------------------------------------------------------------------------------------------------------------|--------|
|                                                                                                         |   |                                                                                            |        |                                                                                                              |   |
| Revenues                                                                                                     |   | $                                                                                               | 11,099,452  |                                                                                                              | $      | 12,925,458 |   |
| Income                  (Loss) from continuing operations                                                    |   |                                                                                            | (125,444    | )                                                                                                                 |   | 761,675 |   |
| Loss                  from discontinued operations                                                           |   |                                                                                            | -           |                                                                                                              |   |   |   |
| Net                  income                                                                                  |   |                                                                                            | (125,444    | )                                                                                                                 |   | 761,675 |   |
| Basic                  and diluted net income per share from continuing                  operations          |   | $                                                                                               | (0.00       | )                                                                                                                 | $      | 0.00 |   |
| Basic                  and diluted net income (loss) per share from discontinued                  operations |   |                                                                                            | (0.00       | )                                                                                                                 |   | 0.00 |   |
| Basic                  and diluted net income per share                                                      |   |                                                                                            | (0.00       | )                                                                                                                 |   | 0.00 |   |
| Weighted                  average common shares                                                              |   |                                                                                            | 737,431,815 |                                                                                                              |   | 70,288,450 |   |

----

Item      5.      Exhibits

| Exhibit                Number                    | Description                                                                                                                                                                                                                                              |
|-----------------------------------------------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 31.1                                                            | Certification                 of  the  Chief  Executive Officer required by Rule                 13a  -  14(a)  or  Rule  15d  -                 14(a).        |
| 31.2                                                            | Certification                 of  the  Chief  Financial Officer required by Rule                 13a  -  14(a)  or  Rule  15d  -                 14(a).        |
| 32.1                                                            | Certification                 of  the  Chief  Executive Officer required by Rule                 13a  -  14(b)  or Rule 15d - 14(b) and 18 U.S.C.                1350.             |
| 32.2                                                            | Certification                 of  the  Chief  Financial Officer required by Rule                 13a  -  14(b)  or Rule 15d - 14(b) and 18 U.S.C.                1350.             |

| Dated:                March 21, 2008 | By:    | /s/                Adam Radly           |
|--------------------------------------|--------|-----------------------------------------|
|                                 |   | Adam                Radly               |
|                                 |   | Chief                Executive Officer  |
|                                 |   |                                    |
| Dated:                March 21, 2008 | By:    | /s/                Bob Bates            |
|                                 |   | Bob                Bates                |
|                                 |   | Chief                Financial Officer, |

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