<ARTICLE> 5
<LEGEND>
This financial schedule contains summary financial information extracted from
the financial statements contained in the Form 10-K of Verilink Corporation for
the fiscal year ended June 27, 1999 and is qualified in its entirety by
reference to such financial statements.
</LEGEND>
<MULTIPLIER> 1,000

                             
<PERIOD-TYPE>                   YEAR
<FISCAL-YEAR-END>                          JUN-27-1999
<PERIOD-START>                             JUN-29-1998
<PERIOD-END>                               JUN-27-1999
<CASH>                                           6,880
<SECURITIES>                                    11,596
<RECEIVABLES>                                    9,366
<ALLOWANCES>                                       205
<INVENTORY>                                      6,864
<CURRENT-ASSETS>                                40,102
<PP&E>                                          19,516
<DEPRECIATION>                                  11,810
<TOTAL-ASSETS>                                  54,281
<CURRENT-LIABILITIES>                           14,142
<BONDS>                                              0
<PREFERRED-MANDATORY>                                0
<PREFERRED>                                          0
<COMMON>                                           141
<OTHER-SE>                                      39,998
<TOTAL-LIABILITY-AND-EQUITY>                    54,281
<SALES>                                         59,553
<TOTAL-REVENUES>                                59,553
<CGS>                                           31,824
<TOTAL-COSTS>                                   31,824
<OTHER-EXPENSES>                                42,630
<LOSS-PROVISION>                                     0
<INTEREST-EXPENSE>                                   0
<INCOME-PRETAX>                               (13,666)
<INCOME-TAX>                                       (0)
<INCOME-CONTINUING>                           (13,666)
<DISCONTINUED>                                       0
<EXTRAORDINARY>                                      0
<CHANGES>                                            0
<NET-INCOME>                                  (13,666)
<EPS-BASIC>                                     (0.98)
<EPS-DILUTED>                                   (0.98)