<TABLE> <S> <C>

<ARTICLE> 5
<LEGEND>
This schedule contains restated summary financial information of VLSI
Technology, Inc. for the nine months ended September 27, 1996, the six months
ended June 28, 1996 and the three months ended March 29, 1996. Certain amounts
have been reclassified to reflect results from continuing operations. EPS
amounts have been restated as required by FAS 128.
</LEGEND>
<RESTATED>
<MULTIPLIER> 1,000
       
<S>                             <C>                     <C>                     <C>
<PERIOD-TYPE>                   9-MOS                   6-MOS                   3-MOS
<FISCAL-YEAR-END>                          DEC-27-1996             DEC-27-1996             DEC-27-1996
<PERIOD-START>                             DEC-30-1995             DEC-30-1995             DEC-30-1995
<PERIOD-END>                               SEP-27-1996             JUN-28-1996             MAR-29-1996
<CASH>                                         154,439                 129,271                 131,533
<SECURITIES>                                    28,794                  70,841                 130,341
<RECEIVABLES>                                  118,833                 117,300                 108,318
<ALLOWANCES>                                   (2,000)                 (1,900)                 (2,150)
<INVENTORY>                                     62,417                  62,757                  64,163
<CURRENT-ASSETS>                               412,810                 430,360                 484,805
<PP&E>                                         905,741                 859,385                 797,040
<DEPRECIATION>                               (416,127)               (388,724)               (367,739)
<TOTAL-ASSETS>                                 914,133                 912,972                 922,994
<CURRENT-LIABILITIES>                          166,090                 165,930                 187,283
<BONDS>                                        212,269                 214,514                 216,709
<PREFERRED-MANDATORY>                                0                       0                       0
<PREFERRED>                                          0                       0                       0
<COMMON>                                           472                     472                     472
<OTHER-SE>                                     522,929                 519,683                 506,157
<TOTAL-LIABILITY-AND-EQUITY>                   914,133                 912,972                 922,994
<SALES>                                        495,022                 324,548                 154,700
<TOTAL-REVENUES>                               495,022                 324,548                 154,700
<CGS>                                          318,727                 211,610                 102,774
<TOTAL-COSTS>                                  318,727                 211,610                 102,774
<OTHER-EXPENSES>                               145,990                  96,465                  47,996
<LOSS-PROVISION>                                    67                   (100)                      21
<INTEREST-EXPENSE>                               8,837                   5,333                   2,478
<INCOME-PRETAX>                                 22,968                  18,080                   5,346
<INCOME-TAX>                                     7,220                   5,600                   1,900
<INCOME-CONTINUING>                             15,748                  12,480                   3,446
<DISCONTINUED>                                 (1,672)                 (1,037)                   (276)
<EXTRAORDINARY>                                      0                       0                       0
<CHANGES>                                            0                       0                       0
<NET-INCOME>                                    14,076                  11,443                   3,170
<EPS-PRIMARY>                                     0.31                    0.25                    0.07
<EPS-DILUTED>                                     0.30                    0.25                    0.07
        

</TABLE>