<ARTICLE> 5
<LEGEND>
THIS RESTATED 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>                                          27,585
<SECURITIES>                                    34,540
<RECEIVABLES>                                   90,060
<ALLOWANCES>                                     3,999
<INVENTORY>                                     73,029
<CURRENT-ASSETS>                               237,045
<PP&E>                                          87,625
<DEPRECIATION>                                  43,963
<TOTAL-ASSETS>                                 297,196
<CURRENT-LIABILITIES>                           69,422
<BONDS>                                              0
<PREFERRED-MANDATORY>                                0
<PREFERRED>                                          0
<COMMON>                                           610
<OTHER-SE>                                     225,990
<TOTAL-LIABILITY-AND-EQUITY>                   297,196
<SALES>                                        345,116
<TOTAL-REVENUES>                               345,116
<CGS>                                          226,871
<TOTAL-COSTS>                                  226,871
<OTHER-EXPENSES>                                98,514
<LOSS-PROVISION>                                   356
<INTEREST-EXPENSE>                                 856
<INCOME-PRETAX>                                 22,675
<INCOME-TAX>                                     3,857
<INCOME-CONTINUING>                             18,818
<DISCONTINUED>                                       0
<EXTRAORDINARY>                                      0
<CHANGES>                                            0
<NET-INCOME>                                    18,818
<EPS-BASIC>                                     0.37
<EPS-DILUTED>                                     0.35