<ARTICLE> 5 <MULTIPLIER> 1,000 <CURRENCY> U.S. DOLLARS <PERIOD-TYPE> 12-MOS <FISCAL-YEAR-END> DEC-31-1998 <PERIOD-START> JAN-01-1998 <PERIOD-END> DEC-31-1998 <EXCHANGE-RATE> 1 <CASH> 17,381 <SECURITIES> 39,238 <RECEIVABLES> 6,059 <ALLOWANCES> 463 <INVENTORY> 0 <CURRENT-ASSETS> 627 <PP&E> 5,202 <DEPRECIATION> 1,755 <TOTAL-ASSETS> 67,981 <CURRENT-LIABILITIES> 14,928 <BONDS> 242 <PREFERRED-MANDATORY> 0 <PREFERRED> 11,598 <COMMON> 70,664 <OTHER-SE> (29,451) <TOTAL-LIABILITY-AND-EQUITY> 67,981 <SALES> 35,048 <TOTAL-REVENUES> 41,968 <CGS> 1,766 <TOTAL-COSTS> 4,884 <OTHER-EXPENSES> 34,486 <LOSS-PROVISION> 0 <INTEREST-EXPENSE> 2,516 <INCOME-PRETAX> 5,114 <INCOME-TAX> (986) <INCOME-CONTINUING> 6,100 <DISCONTINUED> 0 <EXTRAORDINARY> 120 <CHANGES> 0 <NET-INCOME> 5,980 <EPS-BASIC> .44 <EPS-DILUTED> .37