<ARTICLE> 5 <MULTIPLIER> 1,000 <PERIOD-TYPE> YEAR <FISCAL-YEAR-END> DEC-31-1997 <PERIOD-START> JAN-01-1997 <PERIOD-END> DEC-31-1997 <CASH> 2,083 <SECURITIES> 24,189 <RECEIVABLES> 2,780 <ALLOWANCES> 0 <INVENTORY> 2,350 <CURRENT-ASSETS> 31,802 <PP&E> 10,878 <DEPRECIATION> 4,464 <TOTAL-ASSETS> 38,356 <CURRENT-LIABILITIES> 2,395 <BONDS> 0 <PREFERRED-MANDATORY> 0 <PREFERRED> 0 <COMMON> 299 <OTHER-SE> 35,456 <TOTAL-LIABILITY-AND-EQUITY> 38,356 <SALES> 14,001 <TOTAL-REVENUES> 14,746 <CGS> 7,027 <TOTAL-COSTS> 7,027 <OTHER-EXPENSES> 0 <LOSS-PROVISION> 0 <INTEREST-EXPENSE> 0 <INCOME-PRETAX> (16,964) <INCOME-TAX> 0 <INCOME-CONTINUING> (16,964) <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> (16,964) <EPS-PRIMARY> (.57) <EPS-DILUTED> (.57)