<ARTICLE> 5
<LEGEND>
THIS FINANCIAL SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM
THE FINANCIAL STATEMENTS CONTAINED IN THE FORM 10-Q OF VERILINK CORPORATION FOR
THE SECOND FISCAL QUARTER ENDED DECEMBER 31, 1999 AND IS QUALIFIED IN ITS
ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS.
</LEGEND>
<CIK> 0000774937
<NAME> VERILINK CORPORATION
<MULTIPLIER> 1,000

                             
<PERIOD-TYPE>                   6-MOS
<FISCAL-YEAR-END>                          JUN-30-2000
<PERIOD-START>                             JUN-28-1999
<PERIOD-END>                               DEC-31-1999
<CASH>                                           7,838
<SECURITIES>                                     3,579
<RECEIVABLES>                                   12,479
<ALLOWANCES>                                       204
<INVENTORY>                                      3,487
<CURRENT-ASSETS>                                33,508
<PP&E>                                          15,567
<DEPRECIATION>                                  10,768
<TOTAL-ASSETS>                                  46,656
<CURRENT-LIABILITIES>                           16,212
<BONDS>                                              0
<PREFERRED-MANDATORY>                                0
<PREFERRED>                                          0
<COMMON>                                           145
<OTHER-SE>                                      30,299
<TOTAL-LIABILITY-AND-EQUITY>                    46,656
<SALES>                                         31,035
<TOTAL-REVENUES>                                31,035
<CGS>                                           16,811
<TOTAL-COSTS>                                   16,811
<OTHER-EXPENSES>                                24,731
<LOSS-PROVISION>                                     0
<INTEREST-EXPENSE>                                   0
<INCOME-PRETAX>                                (10,114)
<INCOME-TAX>                                         0
<INCOME-CONTINUING>                            (10,114)
<DISCONTINUED>                                       0
<EXTRAORDINARY>                                      0
<CHANGES>                                            0
<NET-INCOME>                                   (10,114)
<EPS-BASIC>                                      (0.72)
<EPS-DILUTED>                                    (0.72)