<ARTICLE>                  5
<LEGEND>


                                   EXHIBIT 27
            INTERDIGITAL COMMUNICATIONS CORPORATION AND SUBSIDIARIES
                             Financial Data Schedule
                                   (Unaudited)

</LEGEND>
<MULTIPLIER>     1,000
       
                                 
<PERIOD-TYPE>                                                   YEAR
<FISCAL-YEAR-END>                                          DEC-31-1996
<PERIOD-END>                                               DEC-31-1996
<CASH>                                                          11,954
<SECURITIES>                                                    43,063
<RECEIVABLES>                                                   14,479
<ALLOWANCES>                                                       558
<INVENTORY>                                                     13,863
<CURRENT-ASSETS>                                                86,714
<PP&E>                                                          18,900
<DEPRECIATION>                                                   8,383
<TOTAL-ASSETS>                                                 112,636
<CURRENT-LIABILITIES>                                           29,638
<BONDS>                                                          4,221
<PREFERRED-MANDATORY>                                                0
<PREFERRED>                                                         10
<COMMON>                                                           481
<OTHER-SE>                                                      72,016
<TOTAL-LIABILITY-AND-EQUITY>                                   112,636
<SALES>                                                         24,974
<TOTAL-REVENUES>                                                53,693
<CGS>                                                           27,370
<TOTAL-COSTS>                                                   27,370
<OTHER-EXPENSES>                                                21,609
<LOSS-PROVISION>                                                  (339)
<INTEREST-EXPENSE>                                                 271
<INCOME-PRETAX>                                                 (7,200)
<INCOME-TAX>                                                     3,554
<INCOME-CONTINUING>                                            (11,644)
<DISCONTINUED>                                                       0
<EXTRAORDINARY>                                                      0
<CHANGES>                                                            0
<NET-INCOME>                                                   (11,644)
<EPS-PRIMARY>                                                     (.26)
<EPS-DILUTED>                                                     (.26)