<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE
FINANCIAL STATEMENTS IN THE ANNUAL REPORT ON FORM 10-K OF DIGITAL MICROWAVE
CORPORATION FOR THE FISCAL YEAR ENDED MARCH 31, 1998 AND IS QUALIFIED IN ITS
ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS.
</LEGEND>
<RESTATED>
<MULTIPLIER> 1,000

                             
<PERIOD-TYPE>                   YEAR
<FISCAL-YEAR-END>                          MAR-31-1998
<PERIOD-START>                             APR-01-1997
<PERIOD-END>                               MAR-31-1998
<CASH>                                          25,130
<SECURITIES>                                    15,220
<RECEIVABLES>                                   78,692
<ALLOWANCES>                                     3,795
<INVENTORY>                                     60,981
<CURRENT-ASSETS>                               191,809
<PP&E>                                          72,514
<DEPRECIATION>                                  39,986
<TOTAL-ASSETS>                                 240,400
<CURRENT-LIABILITIES>                           61,702
<BONDS>                                              0
<PREFERRED-MANDATORY>                                0
<PREFERRED>                                          0
<COMMON>                                           466
<OTHER-SE>                                     178,028
<TOTAL-LIABILITY-AND-EQUITY>                   240,400
<SALES>                                        310,490
<TOTAL-REVENUES>                               310,490
<CGS>                                          202,898
<TOTAL-COSTS>                                  202,898
<OTHER-EXPENSES>                                86,684
<LOSS-PROVISION>                                   356
<INTEREST-EXPENSE>                                 310
<INCOME-PRETAX>                                 23,736
<INCOME-TAX>                                     3,858
<INCOME-CONTINUING>                             19,878
<DISCONTINUED>                                       0
<EXTRAORDINARY>                                      0
<CHANGES>                                            0
<NET-INCOME>                                    19,878
<EPS-BASIC>                                        .44
<EPS-DILUTED>                                      .42