<ARTICLE> 5 <LEGEND> KVH Industries, Inc., Financial Data Schedule December 31, 1998 </LEGEND> <PERIOD-TYPE> Year <FISCAL-YEAR-END> DEC-31-1998 <PERIOD-END> DEC-31-1998 <CASH> 1,239,227 <SECURITIES> 0 <RECEIVABLES> 0 <ALLOWANCES> 3,180,323 <INVENTORY> 73,909 <CURRENT-ASSETS> 10,161,582 <PP&E> 10,246,707 <DEPRECIATION> 3,390,787 <TOTAL-ASSETS> 18,745,636 <CURRENT-LIABILITIES> 1,675,771 <BONDS> 0 <PREFERRED-MANDATORY> 0 <PREFERRED> 0 <COMMON> 72,059 <OTHER-SE> 0 <TOTAL-LIABILITY-AND-EQUITY> 18,745,636 <SALES> 20,630,648 <TOTAL-REVENUES> 20,630,648 <CGS> 14,100,398 <TOTAL-COSTS> 14,100,398 <OTHER-EXPENSES> 10,686,217 <LOSS-PROVISION> 0 <INTEREST-EXPENSE> 2,023 <INCOME-PRETAX> (3,874,200) <INCOME-TAX> (1,608,191) <INCOME-CONTINUING> (2,266,009) <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> (2,266,009) <EPS-PRIMARY> (0.32) <EPS-DILUTED> (0.32)