<ARTICLE> 5 <LEGEND> This schedule contains summary financial information extracted from the consolidated balance sheet, consolidated statement of operations and consolidated statement of cash flows included in the Company's Form 10-K for the period ending December 31, 1997, and is qualified in its entirety by reference to such financial statements. </LEGEND> <CIK> 0000810467 <NAME> Digital Link Corporation <MULTIPLIER> 1 <CURRENCY> U.S. Dollars <PERIOD-TYPE> 12-MOS <FISCAL-YEAR-END> DEC-31-1997 <PERIOD-START> JAN-01-1997 <PERIOD-END> DEC-31-1997 <EXCHANGE-RATE> 1 <CASH> 2,504 <SECURITIES> 18,026 <RECEIVABLES> 5,193 <ALLOWANCES> 517 <INVENTORY> 8,163 <CURRENT-ASSETS> 37,623 <PP&E> 10,063 <DEPRECIATION> 6,738 <TOTAL-ASSETS> 66,056 <CURRENT-LIABILITIES> 8,722 <BONDS> 0 <PREFERRED-MANDATORY> 0 <PREFERRED> 0 <COMMON> 34,609 <OTHER-SE> 22,725 <TOTAL-LIABILITY-AND-EQUITY> 66,056 <SALES> 66,008 <TOTAL-REVENUES> 66,008 <CGS> 29,078 <TOTAL-COSTS> 65,753 <OTHER-EXPENSES> (2,524) <LOSS-PROVISION> 0 <INTEREST-EXPENSE> 0 <INCOME-PRETAX> 2,779 <INCOME-TAX> 847 <INCOME-CONTINUING> 1,932 <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> 1,932 <EPS-PRIMARY> 0.21 <EPS-DILUTED> 0.20