<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM FORM 10-Q
FOR THE THIRD QUARTER ENDED SEPTEMBER 30, 2000 AND IS QUALIFIED IN ITS ENTIRETY
BY REFERENCE TO SUCH FINANCIAL STATEMENTS.
</LEGEND>
<CIK> 0001002531
<NAME> TOLLGRADE COMMUNICATIONS, INC.
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> DEC-31-2000
<PERIOD-START> JUL-02-2000
<PERIOD-END> SEP-30-2000
<CASH> 33,245,797
<SECURITIES> 25,305,837
<RECEIVABLES> 14,947,339
<ALLOWANCES> 177,811
<INVENTORY> 26,130,850
<CURRENT-ASSETS> 109,204,905
<PP&E> 11,557,845
<DEPRECIATION> 5,622,091
<TOTAL-ASSETS> 120,237,614
<CURRENT-LIABILITIES> 8,840,153
<BONDS> 0
0
0
<COMMON> 2,651,606
<OTHER-SE> 108,735,905
<TOTAL-LIABILITY-AND-EQUITY> 120,237,614
<SALES> 29,787,819
<TOTAL-REVENUES> 29,787,819
<CGS> 10,840,558
<TOTAL-COSTS> 10,840,558
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 11,399,541
<INCOME-TAX> 4,104,000
<INCOME-CONTINUING> 0
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 7,295,541
<EPS-BASIC> .57
<EPS-DILUTED> .54
</TABLE>