<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE
FINANCIAL STATEMENTS IN THE QUARTERLY REPORT ON FORM 10-Q OF DIGITAL MICROWAVE
CORPORATION FOR THE QUARTER ENDED JUNE 30, 1997 AND IS QUALIFIED IN ITS ENTIRETY
BY REFERENCE TO SUCH FINANCIAL STATEMENTS.
</LEGEND>
<MULTIPLIER> 1,000
       
                             
<PERIOD-TYPE>                   3-MOS
<FISCAL-YEAR-END>                          MAR-31-1998
<PERIOD-START>                             APR-01-1997
<PERIOD-END>                               JUN-30-1997
<CASH>                                          31,259
<SECURITIES>                                    15,114
<RECEIVABLES>                                   65,462
<ALLOWANCES>                                     3,836
<INVENTORY>                                     57,668
<CURRENT-ASSETS>                               169,204
<PP&E>                                          55,955
<DEPRECIATION>                                  33,744
<TOTAL-ASSETS>                                 208,691
<CURRENT-LIABILITIES>                           52,609
<BONDS>                                              0
<PREFERRED-MANDATORY>                                0
<PREFERRED>                                          0
<COMMON>                                           372
<OTHER-SE>                                     155,025
<TOTAL-LIABILITY-AND-EQUITY>                   208,691
<SALES>                                         64,558
<TOTAL-REVENUES>                                64,558
<CGS>                                           41,346
<TOTAL-COSTS>                                   41,346
<OTHER-EXPENSES>                                17,206
<LOSS-PROVISION>                                   402
<INTEREST-EXPENSE>                                 203
<INCOME-PRETAX>                                  6,492
<INCOME-TAX>                                       682
<INCOME-CONTINUING>                              5,810
<DISCONTINUED>                                       0
<EXTRAORDINARY>                                      0
<CHANGES>                                            0
<NET-INCOME>                                     5,810
<EPS-PRIMARY>                                      .14
<EPS-DILUTED>                                      .13