SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                    FORM 10-Q


[X]      Quarterly Report Pursuant to Section 13 or 15(d) of the Securities 
          Exchange Act of 1934

For the Quarterly Period Ended March 31, 1998

Or

[ ]      Transition Report Pursuant to Section 13 or 15(d) of the Securities 
          Exchange Act of 1934

For the transition period from               to
Commission file number 2-91941


                          ML TECHNOLOGY VENTURES, L.P.
================================================================================
             (Exact name of registrant as specified in its charter)


Delaware                                                             13-3213176
===============================================================================
(State or other jurisdiction of             (I.R.S. Employer Identification No.)
incorporation or organization)


World Financial Center, North Tower
New York, New York                                                   10281-1326
================================================================================
(Address of principal executive offices)                              (Zip Code)


Registrant's telephone number, including area code:  (212) 449-1000


Not applicable
===============================================================================
Former name, former address and former fiscal year, if changed since last report


Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during
the  preceding 12 months (or for such  shorter  period that the  registrant  was
required  to file  such  reports),  and  (2) has  been  subject  to such  filing
requirements for the past 90 days. Yes X No


<PAGE>


                          ML TECHNOLOGY VENTURES, L.P.

                                      INDEX



PART I.       FINANCIAL INFORMATION

Item 1.       Financial Statements.

Balance Sheets as of March 31, 1998 (Unaudited) and December 31, 1997

Statements of Operations for the Three Months Ended March 31, 1998 and 1997 
(Unaudited)

Statements of Cash Flows for the Three Months Ended March 31, 1998 and 1997 
(Unaudited)

Statement of Changes in Partners' Capital for the Three Months Ended March 31, 
1998 (Unaudited)

Notes to Financial Statements (Unaudited)

Item 2.       Management's Discussion and Analysis of Financial Condition and 
               Results of Operations.

Item 3.       Quantitative and Qualitative Disclosures about Market Risk.

PART II.      OTHER INFORMATION

Item 1.       Legal Proceedings.

Item 2.       Changes in Securities.

Item 3.       Defaults upon Senior Securities.

Item 4.       Submission of Matters to a Vote of Security Holders.

Item 5.       Other Information.

Item 6.       Exhibits and Reports on Form 8-K.


<PAGE>


                         PART I - FINANCIAL INFORMATION

Item 1.       Financial Statements.

ML TECHNOLOGY VENTURES, L.P.
BALANCE SHEETS

<TABLE>
                                                                                       March 31, 1998         December 31,
                                                                                         (Unaudited)                 1997
ASSETS

<S>                                                                                  <C>                      <C>             
Cash and cash equivalents                                                            $       209,191          $        343,250
Investments
   U.S. Treasury Bills, at amortized cost                                                    598,672                   498,981
   Publicly traded securities, at market value (cost $1,125,000 as
     of March 31, 1998 and December 31, 1997)                                                992,062                   892,856
   Subordinated promissory note                                                              110,000                   110,000
Accounts receivable                                                                           34,914                    34,507
Other assets                                                                                       -                     4,576
                                                                                     ---------------          ----------------

TOTAL ASSETS                                                                         $     1,944,839          $      1,884,170
                                                                                     ===============          ================

LIABILITIES AND PARTNERS' CAPITAL

Liabilities:
Accounts payable                                                                     $        20,933          $         19,372
Due to Management Company                                                                     50,000                    50,000
                                                                                     ---------------          ----------------
   Total liabilities                                                                          70,933                    69,372
                                                                                     ---------------          ----------------

Partners' Capital:
General Partner                                                                              200,685                   204,695
Limited Partners (69,094 Units)                                                            1,806,159                 1,842,247
Unallocated net unrealized depreciation of investments                                      (132,938)                 (232,144)
                                                                                     ---------------          ----------------
   Total partners' capital                                                                 1,873,906                 1,814,798
                                                                                     ---------------          ----------------

TOTAL LIABILITIES AND PARTNERS' CAPITAL                                              $     1,944,839          $      1,884,170
                                                                                     ===============          ================
</TABLE>


See notes to financial statements.


<PAGE>


ML TECHNOLOGY VENTURES, L.P.
STATEMENTS OF OPERATIONS (Unaudited)
For the Three Months Ended March 31,


<TABLE>
                                                                                               1998                 1997
                                                                                          --------------       ---------

INCOME

<S>                                                                                       <C>                 <C>             
   Royalty and licensing income                                                           $       34,914      $         37,187
   Other interest income                                                                           8,713                 1,097
                                                                                          --------------      ----------------
   Total income                                                                                   43,627                38,284
                                                                                          --------------      ----------------

EXPENSES

   Management fee                                                                                 50,000                50,000
   Professional fees                                                                              20,459                65,500
   Mailing and printing                                                                           13,166                11,694
   Miscellaneous                                                                                     100                 1,051
                                                                                          --------------      ----------------
   Total expenses                                                                                 83,725               128,245
                                                                                          --------------      ----------------

NET OPERATING LOSS                                                                               (40,098)              (89,961)
                                                                                          --------------      ----------------

Net realized gain from investments                                                                     -             9,617,506
                                                                                          --------------      ----------------

NET (LOSS) INCOME                                                                         $      (40,098)     $      9,527,545
                                                                                          ==============      ================

Net (loss) income per unit of limited partnership interest                                    $   (0.52)          $    136.51
                                                                                              =========           ===========
</TABLE>


See notes to financial statements.



<PAGE>


ML TECHNOLOGY VENTURES, L.P.
STATEMENTS OF CASH FLOWS (Unaudited)
For the Three Months Ended March 31,

<TABLE>
                                                                                                   1998               1997
                                                                                               -------------       -------
CASH FLOWS USED FOR OPERATING ACTIVITIES
<S>                                                                                             <C>               <C>          
   Interest and other income received                                                           $     46,408      $      35,527
   Other operating expenses paid                                                                     (82,164)          (119,147)
                                                                                                ------------      -------------
   Cash used for operating activities                                                                (35,756)           (83,620)
                                                                                                ------------      -------------


CASH FLOWS USED FOR INVESTING ACTIVITIES
   Net purchase of investments in U.S. Treasury Bills                                                (98,303)                 -
                                                                                                ------------      -------------
   Cash used for investing activities                                                                (98,303)                 -
                                                                                                ------------      -------------


Decrease in cash and cash equivalents                                                               (134,059)           (83,620)
Cash and cash equivalents at beginning of period                                                     343,250            218,215
                                                                                                ------------      -------------

CASH AND CASH EQUIVALENTS AT END OF PERIOD                                                      $    209,191      $     134,595
                                                                                                ============      =============


Reconciliation of net (loss) income to cash used for operating activities:
   Net (loss) income                                                                            $    (40,098)     $   9,527,545
                                                                                                ------------      -------------
   Adjustments to reconcile net (loss) income to cash used for
     operating activities:
     Net realized gain                                                                                     -         (9,617,506)
     (Increase) decrease in receivables and other assets                                               4,169            (12,636)
     Increase in payables, net                                                                         1,561             18,977
     (Increase) in accrued interest on U.S. Treasury Bills                                            (1,388)                 -
                                                                                                ------------      -------------
   Total adjustments                                                                                   4,342         (9,611,165)
                                                                                                ------------      -------------

Cash used for operating activities                                                              $    (35,756)     $     (83,620)
                                                                                                ============      =============
</TABLE>



See notes to financial statements.


<PAGE>


ML TECHNOLOGY VENTURES, L.P.
STATEMENT OF CHANGES IN PARTNERS' CAPITAL (Unaudited)
For the Three Months Ended March 31, 1998


<TABLE>
                                                                                            Unallocated
                                                                                          Net Unrealized
                                                       General          Limited            Depreciation
                                                       Partner         Partners           of Investments            Total

<S>                                                <C>             <C>                    <C>                 <C>             
Balance at beginning of period                     $    204,695    $      1,842,247       $     (232,144)     $      1,814,798

Allocation of net loss                                   (4,010)            (36,088)                   -               (40,098)

Change in net unrealized
depreciation of investments                                   -                   -               99,206                99,206
                                                   ------------    ----------------       --------------      ----------------

Balance at end of period                           $    200,685    $      1,806,159       $     (132,938)     $      1,873,906
                                                   ============    ================       ==============      ================
</TABLE>




See notes to financial statements.


<PAGE>


ML TECHNOLOGY VENTURES, L.P.
NOTES TO FINANCIAL STATEMENTS (Unaudited)

1.       Organization and Purpose

ML  Technology  Ventures,   L.P.  (the  "Partnership")  is  a  Delaware  limited
partnership  formed in April 1984. ML R&D Co., L.P., the general  partner of the
Partnership  (the "General  Partner"),  is also a Delaware  limited  partnership
formed  in April  1984,  the  general  partner  of which is  Merrill  Lynch  R&D
Management Inc. (the "Management  Company"),  an indirect  subsidiary of Merrill
Lynch & Co., Inc. DLJ Capital  Management  Corporation (the  "Sub-Manager"),  an
indirect subsidiary of Donaldson, Lufkin & Jenrette, Inc., is the sub-manager of
the Partnership,  pursuant to a sub-management  agreement among the Partnership,
the Management Company, the General Partner and the Sub-Manager.

The  objective  of the  Partnership  has  been to  achieve  cash  flow  from the
commercialization of a broad range of technologies developed and owned by, or on
behalf of, the  Partnership.  The  Partnership  has been engaged in research and
development  activities for the development of new technology through contracts,
joint ventures and investments in other partnerships.  The Partnership is in the
process of  liquidation  and will  terminate  no later than  January  31,  2005;
however,  the  Partnership  is  working  toward  the  final  liquidation  of its
remaining  assets and  subsequent  termination  by the end of the calendar  year
1998, if possible.

2.       Significant Accounting Policies

Research and  Development  Costs - In prior periods,  the  Partnership  incurred
costs in connection with its research and development ventures, including patent
application  costs,  which were  expensed in the period  incurred.  Research and
development  expenses  were  shown net of value  received  for the  granting  of
options to purchase technology being developed.

Valuation of Investments - In accordance with Statement of Financial  Accounting
Standards No. 115, investments in available-for-sale securities (publicly traded
securities) are accounted for at market value based on the closing public market
price on the last day of the quarter.  The related  unrealized  appreciation  or
depreciation  of  such  securities  is  reflected  as a  separate  component  of
Partners' capital. Non-publicly traded securities are accounted for at cost. The
cost of an investment  is written down to its fair value when the  investment is
determined to be other than temporarily impaired.

Use of Estimates - The  preparation of financial  statements in conformity  with
generally accepted  accounting  principles requires management to make estimates
and assumptions  that affect the reported  amounts of assets and liabilities and
disclosure of  contingent  assets and  liabilities  at the date of the financial
statements  and the  reported  amounts  of  revenues  and  expenses  during  the
reporting period. Actual results could differ from those estimates.

Investment  Transactions - Investment  transactions  are recorded on the accrual
method. Realized gains and losses on investments sold are computed on a specific
identification basis.

Income Taxes - No provision  for income taxes has been made since all income and
losses are  allocable  to the Partners for  inclusion  in their  respective  tax
returns.

Statements  of  Cash  Flows  -  The  Partnership  considers  cash  held  in  its
interest-bearing cash account to be cash equivalents.


<PAGE>


ML TECHNOLOGY VENTURES, L.P.
NOTES TO FINANCIAL STATEMENTS (Unaudited), continued

3.       Allocation of Partnership Profits and Losses


The  Partnership  Agreement  provides  that  profits  shall be  allocated to all
Partners in  proportion  to their  capital  contributions  until there have been
distributions  to the Limited  Partners  equal to their  capital  contributions,
after which time 90% will be  allocated  to the Limited  Partners and 10% to the
General  Partner  (90/10 ratio) until there has been  distributed to the Limited
Partners an aggregate amount,  since the inception of the Partnership,  equal to
twice their capital  contributions  and  thereafter 80% will be allocated to the
Limited  Partners and 20% to the General Partner (80/20 ratio).  Losses shall be
allocated to all Partners in proportion to their capital contributions provided,
however,  that to the extent  profits  have been  credited in the 90/10 or 80/20
ratio,  losses shall be charged in such ratios in reverse order in which profits
were credited.

4.       Related Party Transactions

The  Management  Company  performs,  or  arranges  for  others to  perform,  the
management  and  administrative  services  necessary  for the  operation  of the
Partnership.  The Management Company received a management fee at an annual rate
of 2% of the aggregate  capital  contributions  to the Partnership for its first
four  years  of  operations  and  1%  of  the  aggregate  capital  contributions
thereafter,  through  December 31, 1995. On March 27, 1996, the General  Partner
and the  Management  Company  agreed to reduce the management fee payable by the
Partnership to $200,000 per annum.  The reduction  commenced with the management
fee for the  quarter  ended  March  31,  1996.  The  management  fee is  payable
quarterly in arrears.

5.       Investments in Equity Securities

As of March 31,  1998,  the  Partnership  held 396,825  common  shares of Photon
Technology  International,  Inc., a public  company,  with a cost of $1,125,000.
Such securities had a market value of $992,062 as of March 31, 1998.

6.      Net Realized Gains or Losses from Investments

There  were no  realized  gains or losses  from  portfolio  investments  for the
quarter  ended March 31,  1998.  During the quarter  ended March 31,  1997,  the
Partnership received 365,217 common shares of IDEC  Pharmaceuticals  Corporation
from ML/MS Associates,  L.P. and MLMS Cancer Research,  Inc. and sold 207,438 of
such shares for $5,456,077.  These transactions  resulted in a net realized gain
for the quarter of $9,617,506.

7.       Interim Financial Statements

In the  opinion  of ML R&D  Co.,  L.P.,  the  managing  general  partner  of the
Partnership,  the unaudited  financial  statements as of March 31, 1998, and for
the three month period then ended,  reflect all  adjustments  necessary  for the
fair presentation of the results of the interim period.


<PAGE>


Item 2.       Management's Discussion and Analysis of Financial Condition and 
               Results of Operations.

Liquidity and Capital Resources

From  1985 to 1991,  the  Partnership  funded  $59.6  million  of  research  and
development  commitments to 16 individual research and development ventures (the
"R&D Ventures"). This amount represents 95% of the original $62.5 million of net
proceeds  to the  Partnership.  The  Partnership  has no unfunded  research  and
development commitments and will not enter into new R&D Ventures in the future.

As of March 31, 1998, the  Partnership  had $598,672  invested in U.S.  Treasury
bills with maturities of less than one year, and $209,191 in an interest-bearing
cash account.  The Partnership  earned $8,713 of interest from its U.S. Treasury
bill  investments  and cash  balances  for the  quarter  ended  March 31,  1998.
Interest  earned in future  periods  is subject to  fluctuations  in  short-term
interest rates and changes in the Partnership's available cash balances.

It is anticipated that funds needed to cover future operating expenses primarily
will be obtained from the Partnership's  existing cash reserves,  future royalty
income, and proceeds from the sale of its remaining assets.

The  Partnership  is  working  toward  a final  liquidation  of its  assets  and
termination  of the  Partnership  by the end of calendar year 1998, if possible.
The  Partnership's  Photon  Technology  International,  Inc. equity holdings and
promissory  note and the Gen-Probe II royalties are its only  remaining  assets.
The timing of the liquidation of the Partnership's assets and its termination is
contingent  upon,  among other things,  market  conditions and  securities  laws
restrictions and no assurances can be given that the Partnership will be able to
complete all steps  necessary to liquidate its assets and terminate in such time
frame.

As was provided in the Partnership's prospectus delivered to Limited Partners in
connection  with their  investment,  and as disclosed in subsequent  filings and
reports,  the  Partnership  is obligated to pay,  and has paid  accordingly,  an
annual management fee equal to 2% of aggregate capital  contributions during the
four years subsequent to its closing ($1,397,250  annually) and, thereafter,  1%
of aggregate capital contributions ($698,624 annually).  The original objectives
of the Partnership anticipated that the bulk of the Partnership's revenues would
be  earned  between  1988  and  1996.   Therefore,   in   consideration  of  the
Partnership's originally contemplated objectives,  the reduction of assets under
management  and the  anticipated  termination  of the  Partnership,  the General
Partner and the  Management  Company,  while not required to do so,  reduced the
annual  management  fee payable by the  Partnership  from  $698,624 to $200,000,
commencing with the management fee payment due for the first quarter of 1996. As
a result,  the  Partnership  incurred a management  fee of $50,000 for the three
months ended March 31, 1998.

Results of Operations

For the three months ended March 31, 1998 and 1997, the  Partnership  had a
net loss of $40,098 and net income $9,527,545,  respectively. Net income or loss
is comprised  of 1) net  operating  income or loss and 2) net  realized  gain or
loss.

<PAGE>



Net  Operating  Income or Loss - For the three  months  ended March 31, 1998 and
1997,  the  Partnership  had  a net  operating  loss  of  $40,098  and  $89,961,
respectively. The decrease in net operating loss for the 1998 period compared to
the 1997 period was the result of a $44,520 decrease in operating expenses and a
$5,343 increase in total income.  The decline in operating expenses for the 1998
period compared to the 1997 period primarily resulted from a $45,041 decrease in
professional  fees. Such expenses have declined as the  Partnership's  operating
activity has declined during its liquidation  period.  The increase in operating
income  primarily   resulted  from  an  increase  in  interest  from  short-term
investments  due to an increase in funds available for such  investments  during
the 1998 period compared to the same period in 1997.

Realized Gains and Losses - The  Partnership  realizes gains and losses from the
sale of its joint venture  interests or  proprietary  technology in R&D Ventures
and from the sale of its equity securities.

For the three months ended March 31, 1998, the Partnership had no realized gains
or losses from investments.

For the three months ended March 31, 1997,  the  Partnership  had a net realized
gain of $9,617,506  resulting  from the receipt of 365,217 common shares of IDEC
Pharmaceuticals Corporation and the subsequent sale of 207,438 of such shares in
the public market.


Item 3.       Quantitative and Qualitative Disclosures about Market Risk.

None


<PAGE>


                           PART II - OTHER INFORMATION


Item 1.       Legal Proceedings.

The Partnership is not a party to any legal proceedings.

Item 2.       Changes in Securities.

Not applicable.

Item 3.       Defaults Upon Senior Securities.

Not applicable.

Item 4.       Submission of Matters to a Vote of Security Holders.

Not applicable.

Item 5.       Other Information.

None.



<PAGE>


Item 6.       Exhibits and Reports on Form 8-K.

              (a)   Exhibits

                    (4)             (A) Amended  and  Restated  Certificate  and
                                    Agreement  of  Limited  Partnership  of  the
                                    Partnership  dated as of April 23, 1984,  as
                                    amended through February 22, 1985,  included
                                    as  Exhibit  A  to  the  Prospectus  of  the
                                    Partnership dated March 11, 1985.(a)

                          (B)       (i)  Amendment  dated August 20, 1985 to the
                                    Amended   and   Restated   Certificate   and
                                    Agreement  of  Limited  Partnership  of  the
                                    Partnership.(b)

                          (B)       (ii) Amendment  dated August 28, 1985 to the
                                    Amended   and   Restated   Certificate   and
                                    Agreement  of  Limited  Partnership  of  the
                                    Partnership.(c)

                    (10)  (a)       Management  Agreement dated as of May 23, 
                                   1991 among the Partnership,  Management 
                                   Company and the Managing General Partner.(d)

                    (10)            (b) Sub-Management Agreement dated as of May
                                    23, 1991 among the  Partnership,  Management
                                    Company,  the Managing  General  Partner and
                                    the Sub-Manager.(d)

                    (10)            (c)  Amendment  dated  March 27, 1996 to the
                                    Management  Agreement among the Partnership,
                                    Management  Company and the Managing General
                                    Partner.(e)

                    (10)            (d)  Amendment  dated  March 27, 1996 to the
                                    Sub-Management     Agreement    among    the
                                    Partnership,    Management   Company,    the
                                    Managing    General    Partner    and    the
                                    Sub-Manager.(e)

                    (27)            Financial Data Schedule.

              (b) No reports on Form 8-K have been filed since the  beginning of
the period covered by this report.
------------------------------

(a)      Incorporated  by reference to the  Partnership's  Annual Report on Form
         10-K for the  fiscal  year  ended  December  31,  1984  filed  with the
         Securities and Exchange Commission on August 12, 1985.

(b)      Incorporated by reference to the Partnership's Quarterly Report on Form
         10-Q for the quarter ended September 30, 1985 filed with the Securities
         and Exchange Commission on November 12, 1985.

(c)      Incorporated by reference to the Partnership's Quarterly Report on Form
         10-Q for the quarter ended March 31, 1986 filed with the Securities and
         Exchange Commission on May 14, 1986.

(d)      Incorporated  by reference to the  Partnership's  Annual Report on Form
         10-K for the  fiscal  year  ended  December  31,  1991  filed  with the
         Securities and Exchange Commission on March 30, 1992.

(e)      Incorporated by reference to the Partnership's Quarterly Report on Form
         10-Q for the quarter ended March 31, 1996 filed with the Securities and
         Exchange Commission on May 14, 1996.


<PAGE>


                                   SIGNATURES



Pursuant  to the  requirements  of the  Securities  Exchange  Act of  1934,  the
registrant  has duly  caused  this  report  to be  signed  on its  behalf by the
undersigned thereunto duly authorized.



              ML TECHNOLOGY VENTURES, L.P.


By:           ML R&D Co., L.P.,
              its General Partner

By:           Merrill Lynch R&D Management Inc.,
              its General Partner


By:           /s/     Kevin K. Albert
              Kevin K. Albert
              President
              (Principal Executive Officer)


By:           /s/     Robert Aufenanger
              Robert Aufenanger
              Executive Vice President and Director


By:           /s/     Diane T. Herte
              Diane T. Herte
              Vice President and Treasurer
              (Principal Financial and Accounting Officer)



Date:         May 15, 1998