<ARTICLE> 5 <MULTIPLIER> 1,000 <CURRENCY> US DOLLARS <PERIOD-TYPE> 6-MOS <FISCAL-YEAR-END> DEC-31-1998 <PERIOD-START> JAN-01-1998 <PERIOD-END> JUN-30-1998 <EXCHANGE-RATE> 1 <CASH> 27,093 <SECURITIES> 21,489 <RECEIVABLES> 7,978 <ALLOWANCES> (1,343) <INVENTORY> 3,232 <CURRENT-ASSETS> 62,331 <PP&E> 4,981 <DEPRECIATION> 0 <TOTAL-ASSETS> 74,070 <CURRENT-LIABILITIES> 14,141 <BONDS> 0 <PREFERRED-MANDATORY> 0 <PREFERRED> 0 <COMMON> 132 <OTHER-SE> 59,797 <TOTAL-LIABILITY-AND-EQUITY> 74,070 <SALES> 24,760 <TOTAL-REVENUES> 24,760 <CGS> 9,888 <TOTAL-COSTS> 9,888 <OTHER-EXPENSES> 16,325 <LOSS-PROVISION> 0 <INTEREST-EXPENSE> 0 <INCOME-PRETAX> (514) <INCOME-TAX> 266 <INCOME-CONTINUING> (780) <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> (780) <EPS-PRIMARY> (0.06) <EPS-DILUTED> (0.06) <FN> ADDITIONAL CURRENT ASSET - DEFERRED TAX 2,619 ADDITIONAL CURRENT ASSET - OTHER 1,263 OTHER ASSET - DEFERRED TAXES 4,341 OTHER ASSETS - NET 2,417 INTEREST INCOME 939 </FN>