<ARTICLE> 5 <MULTIPLIER> 1 <PERIOD-TYPE> YEAR <FISCAL-YEAR-END> DEC-31-1998 <PERIOD-START> JAN-01-1998 <PERIOD-END> DEC-31-1998 <CASH> 828,000 <SECURITIES> 0 <RECEIVABLES> 2,231,000 <ALLOWANCES> 134,000 <INVENTORY> 1,512,000 <CURRENT-ASSETS> 4,540,000 <PP&E> 430,000 <DEPRECIATION> 1,368,000 <TOTAL-ASSETS> 4,970,000 <CURRENT-LIABILITIES> 2,929,000 <BONDS> 0 <PREFERRED-MANDATORY> 0 <PREFERRED> 14,647,000 <COMMON> 12,353,000 <OTHER-SE> 0 <TOTAL-LIABILITY-AND-EQUITY> 4,970,000 <SALES> 9,145,000 <TOTAL-REVENUES> 9,145,000 <CGS> 6,924,000 <TOTAL-COSTS> 11,255,000 <OTHER-EXPENSES> 0 <LOSS-PROVISION> 0 <INTEREST-EXPENSE> 125,000 <INCOME-PRETAX> (2,235,000) <INCOME-TAX> 0 <INCOME-CONTINUING> (2,235,000) <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> (2,235,000) <EPS-PRIMARY> (0.64) <EPS-DILUTED> (0.64)