<ARTICLE> 5 <LEGEND> THE SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE 12/31/98 CONDENSED CONSOLIDATED BALANCE SHEET AND THE STATEMENT OF OPERATIONS FOR THE TWELVE MONTHS THEN ENDED AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS. </LEGEND> <MULTIPLIER> 1,000 <PERIOD-TYPE> 12-MOS <FISCAL-YEAR-END> DEC-31-1998 <PERIOD-START> JAN-01-1998 <PERIOD-END> DEC-31-1998 <CASH> 46,575 <SECURITIES> 0 <RECEIVABLES> 9,209 <ALLOWANCES> 1,251 <INVENTORY> 10,289 <CURRENT-ASSETS> 79,537 <PP&E> 12,787 <DEPRECIATION> 7,056 <TOTAL-ASSETS> 94,318 <CURRENT-LIABILITIES> 18,950 <BONDS> 0 <PREFERRED-MANDATORY> 0 <PREFERRED> 0 <COMMON> 291 <OTHER-SE> 74,930 <TOTAL-LIABILITY-AND-EQUITY> 94,318 <SALES> 42,760 <TOTAL-REVENUES> 42,760 <CGS> 16,898 <TOTAL-COSTS> 16,898 <OTHER-EXPENSES> 54,720 <LOSS-PROVISION> 0 <INTEREST-EXPENSE> 60 <INCOME-PRETAX> (26,511) <INCOME-TAX> (9,155) <INCOME-CONTINUING> (17,356) <DISCONTINUED> (259) <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> 5,161 <EPS-PRIMARY> 0.18 <EPS-DILUTED> 0.18