<ARTICLE> 5 <MULTIPLIER> 1,000 <PERIOD-TYPE> YEAR <FISCAL-YEAR-END> DEC-31-1997 <PERIOD-START> JAN-01-1997 <PERIOD-END> DEC-31-1997 <CASH> 16,997 <SECURITIES> 18,197 <RECEIVABLES> 2,811 <ALLOWANCES> (757) <INVENTORY> 3,866 <CURRENT-ASSETS> 41,670 <PP&E> 2,612 <DEPRECIATION> (1,192) <TOTAL-ASSETS> 43,474 <CURRENT-LIABILITIES> 5,236 <BONDS> 0 <PREFERRED-MANDATORY> 0 <PREFERRED> 0 <COMMON> 66,596 <OTHER-SE> 50 <TOTAL-LIABILITY-AND-EQUITY> 43,474 <SALES> 5,499 <TOTAL-REVENUES> 5,499 <CGS> 2,779 <TOTAL-COSTS> 2,779 <OTHER-EXPENSES> 23,388 <LOSS-PROVISION> 0 <INTEREST-EXPENSE> 25 <INCOME-PRETAX> (18,247) <INCOME-TAX> 0 <INCOME-CONTINUING> (18,247) <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> (18,247) <EPS-PRIMARY> (1.11) <EPS-DILUTED> (1.11)