<ARTICLE> 5 <MULTIPLIER> 1,000 <PERIOD-TYPE> 9-MOS <FISCAL-YEAR-END> DEC-31-1997 <PERIOD-START> JAN-01-1997 <PERIOD-END> SEP-30-1997 <CASH> 8,236 <SECURITIES> 22,198 <RECEIVABLES> 2,977 <ALLOWANCES> 0 <INVENTORY> 1,924 <CURRENT-ASSETS> 35,756 <PP&E> 12,561 <DEPRECIATION> 4,721 <TOTAL-ASSETS> 43,484 <CURRENT-LIABILITIES> 2,864 <BONDS> 0 <PREFERRED-MANDATORY> 0 <PREFERRED> 0 <COMMON> 298 <OTHER-SE> 105,765 <TOTAL-LIABILITY-AND-EQUITY> 43,484 <SALES> 10,844 <TOTAL-REVENUES> 11,441 <CGS> 5,574 <TOTAL-COSTS> 5,574 <OTHER-EXPENSES> 0 <LOSS-PROVISION> 0 <INTEREST-EXPENSE> 0 <INCOME-PRETAX> (6,331) <INCOME-TAX> 0 <INCOME-CONTINUING> (6,331) <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> (6,331) <EPS-PRIMARY> (.21) <EPS-DILUTED> (.21)