<TABLE> <S> <C>

<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM (A)
S3 INCORPORATED CONDENSED CONSOLIDATED BALANCE SHEET AS OF MARCH 31, 1996, JUNE
30, 1996 AND SEPTEMBER 30, 1996 AND CONDENSED CONSOLIDATED STATEMENTS OF INCOME
FOR THE THREE MONTHS ENDED MARCH 31, 1996, SIX MONTHS ENDED JUNE 30, 1996 AND
NINE MONTHS ENDED SEPTEMBER 30, 1996 AND IS QUALIFIED IN ITS ENTIRETY BY
REFERENCE TO. </LEGEND>
<MULTIPLIER> 1,000

<S>                             <C>                     <C>                     <C>
<PERIOD-TYPE>                   3-MOS                   6-MOS                   9-MOS
<FISCAL-YEAR-END>                          DEC-31-1996             DEC-31-1996             DEC-31-1996
<PERIOD-START>                             JAN-01-1996             APR-01-1996             JUL-01-1996
<PERIOD-END>                               MAR-30-1996             JUN-30-1996             SEP-30-1996
<CASH>                                          71,131                  69,226                 130,808
<SECURITIES>                                    22,795                  15,162                  13,200
<RECEIVABLES>                                   82,768                  93,010                 106,857
<ALLOWANCES>                                     1,614                   1,680                   2,026
<INVENTORY>                                     47,889                  51,973                  52,865
<CURRENT-ASSETS>                               239,892                 247,555                 332,208
<PP&E>                                          37,115                  41,201                  44,298
<DEPRECIATION>                                  13,382                  15,797                  18,402
<TOTAL-ASSETS>                                 333,031                 342,939                 450,623
<CURRENT-LIABILITIES>                           88,727                  88,862                  91,628
<BONDS>                                              0                       0                       0
<PREFERRED-MANDATORY>                                0                       0                       0
<PREFERRED>                                          0                       0                       0
<COMMON>                                       157,113                 158,867                 159,865
<OTHER-SE>                                      59,768                  67,522                  76,648
<TOTAL-LIABILITY-AND-EQUITY>                   333,031                 342,939                 450,623
<SALES>                                        102,120                 201,242                 311,327
<TOTAL-REVENUES>                               102,120                 201,242                 311,327
<CGS>                                           61,827                 123,312                 191,391
<TOTAL-COSTS>                                   61,827                 123,312                 191,391
<OTHER-EXPENSES>                                25,635                  52,279                  81,034
<LOSS-PROVISION>                                     0                       0                       0
<INTEREST-EXPENSE>                                   0                       0                       0
<INCOME-PRETAX>                                 15,664                  27,360                  40,888
<INCOME-TAX>                                     5,285                   9,269                  13,589
<INCOME-CONTINUING>                             10,379                  18,091                  27,299
<DISCONTINUED>                                       0                       0                       0
<EXTRAORDINARY>                                      0                       0                       0
<CHANGES>                                            0                       0                       0
<NET-INCOME>                                    10,379                  18,091                  27,299
<EPS-PRIMARY>                                     0.22                    0.38                    0.57
<EPS-DILUTED>                                     0.21                    0.36                    0.53


</TABLE>