<ARTICLE> 5 <PERIOD-TYPE> 9-MOS <FISCAL-YEAR-END> DEC-31-1996 <PERIOD-END> SEP-30-1996 <CASH> 1,673,000 <SECURITIES> 0 <RECEIVABLES> 622,000 <ALLOWANCES> 27,000 <INVENTORY> 111,000 <CURRENT-ASSETS> 2,515,000 <PP&E> 924,000 <DEPRECIATION> 288,000 <TOTAL-ASSETS> 3,164,000 <CURRENT-LIABILITIES> 579,000 <BONDS> 0 <PREFERRED-MANDATORY> 0 <PREFERRED> 0 <COMMON> 25,000 <OTHER-SE> 2,529,000 <TOTAL-LIABILITY-AND-EQUITY> 3,164,000 <SALES> 449,000 <TOTAL-REVENUES> 2,205,000 <CGS> 192,000 <TOTAL-COSTS> 694,000 <OTHER-EXPENSES> 2,724,000 <LOSS-PROVISION> 0 <INTEREST-EXPENSE> 0 <INCOME-PRETAX> (1,142,000) <INCOME-TAX> (18,000) <INCOME-CONTINUING> (1,124,000) <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> (1,124,000) <EPS-PRIMARY> (.45) <EPS-DILUTED> (.45)