<ARTICLE> 5 <LEGEND> THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE FINANCIAL STATEMENTS IN THE QUARTERLY REPORT ON FORM 10-Q OF DSP COMMUNICATIONS, INC. FOR THE QUARTER ENDED MARCH 31, 1996 AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS. </LEGEND> <MULTIPLIER> 1,000 <PERIOD-TYPE> 3-MOS <FISCAL-YEAR-END> DEC-31-1996 <PERIOD-START> JAN-01-1996 <PERIOD-END> MAR-31-1996 <CASH> 18,466 <SECURITIES> 18,441 <RECEIVABLES> 5,220 <ALLOWANCES> 0 <INVENTORY> 0 <CURRENT-ASSETS> 43,708 <PP&E> 2,265 <DEPRECIATION> 0 <TOTAL-ASSETS> 49,787 <CURRENT-LIABILITIES> 10,432 <BONDS> 0 <PREFERRED-MANDATORY> 0 <PREFERRED> 0 <COMMON> 18 <OTHER-SE> 39,137 <TOTAL-LIABILITY-AND-EQUITY> 49,787 <SALES> 16,124 <TOTAL-REVENUES> 17,322 <CGS> 9,212 <TOTAL-COSTS> 10,070 <OTHER-EXPENSES> 3,542 <LOSS-PROVISION> 0 <INTEREST-EXPENSE> 57 <INCOME-PRETAX> 4,085 <INCOME-TAX> 510 <INCOME-CONTINUING> 3,575 <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> 3,575 <EPS-PRIMARY> 0.18 <EPS-DILUTED> 0.18