<ARTICLE> 5 <LEGEND> THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE CONSOLIDATED FINANCIAL STATEMENTS OF COMPUTER NETWORK TECHNOLOGY CORPORATION AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS. </LEGEND> <RESTATED> <MULTIPLIER> 1,000 <PERIOD-TYPE> 9-MOS <FISCAL-YEAR-END> DEC-31-1997 <PERIOD-START> JAN-01-1997 <PERIOD-END> SEP-30-1997 <CASH> 10,083 <SECURITIES> 18,269 <RECEIVABLES> 19,256 <ALLOWANCES> 704 <INVENTORY> 12,087 <CURRENT-ASSETS> 62,232 <PP&E> 31,492 <DEPRECIATION> 19,765 <TOTAL-ASSETS> 81,042 <CURRENT-LIABILITIES> 22,020 <BONDS> 747 <PREFERRED-MANDATORY> 0 <PREFERRED> 0 <COMMON> 223 <OTHER-SE> 58,052 <TOTAL-LIABILITY-AND-EQUITY> 81,042 <SALES> 46,042 <TOTAL-REVENUES> 66,253 <CGS> 14,450 <TOTAL-COSTS> 28,124 <OTHER-EXPENSES> 12,243<F1> <LOSS-PROVISION> 0 <INTEREST-EXPENSE> 34 <INCOME-PRETAX> (170) <INCOME-TAX> (62) <INCOME-CONTINUING> (108) <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> (108) <EPS-PRIMARY> (.00)<F2> <EPS-DILUTED> (.00) <FN> <F1>Amount presented represents engineering and development expense <F2>Amount presented represents Basic Net Income (loss) per share </FN>