<ARTICLE> 5 <LEGEND> THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE FINANCIAL STATEMENTS AND RELATED NOTES FOR THE SIX MONTHS ENDED JUNE 30, 1998 AND THE YEAR ENDED DECEMBER 31, 1997 AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS. </LEGEND> <MULTIPLIER> 1,000 <PERIOD-TYPE> 6-MOS YEAR <FISCAL-YEAR-END> DEC-31-1998 DEC-31-1997 <PERIOD-START> JAN-01-1998 JAN-01-1997 <PERIOD-END> JUN-30-1998 DEC-31-1997 <CASH> 3,805 5,395 <SECURITIES> 2,984 4,890 <RECEIVABLES> 3,142 1,626 <ALLOWANCES> 38 29 <INVENTORY> 1,770 1,424 <CURRENT-ASSETS> 11,990 13,667 <PP&E> 2,736 2,149 <DEPRECIATION> 1,676 804 <TOTAL-ASSETS> 13,894 15,168 <CURRENT-LIABILITIES> 2,552 2,601 <BONDS> 411 354 <PREFERRED-MANDATORY> 44,673 38,871 <PREFERRED> 1,567 1,567 <COMMON> 0 0 <OTHER-SE> (35,904) (28,011) <TOTAL-LIABILITY-AND-EQUITY> 13,894 15,168 <SALES> 4,095 6,221 <TOTAL-REVENUES> 4,513 6,221 <CGS> 2,382 3,228 <TOTAL-COSTS> 2,403 3,228 <OTHER-EXPENSES> 9,121 12,344 <LOSS-PROVISION> 0 0 <INTEREST-EXPENSE> 23 61 <INCOME-PRETAX> (6,800) (9,156) <INCOME-TAX> 1 1 <INCOME-CONTINUING> 0 0 <DISCONTINUED> 0 0 <EXTRAORDINARY> 0 0 <CHANGES> 0 0 <NET-INCOME> (6,801) (9,157) <EPS-PRIMARY> (36.65) (59.36) <EPS-DILUTED> (36.65) (59.36)