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<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM TURNSTONE
SYSTEMS INC.'S QUARTERLY REPORT ON FORM 10-Q FOR THE PERIOD ENDED SEPTEMBER 30,
2000 AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS.
</LEGEND>
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 9-MOS
<FISCAL-YEAR-END> DEC-31-2000
<PERIOD-START> JAN-01-2000
<PERIOD-END> SEP-30-2000
<CASH> 229,231
<SECURITIES> 56,350
<RECEIVABLES> 19,886
<ALLOWANCES> 972
<INVENTORY> 20,203
<CURRENT-ASSETS> 327,842
<PP&E> 4,408
<DEPRECIATION> 983
<TOTAL-ASSETS> 341,249
<CURRENT-LIABILITIES> 36,715
<BONDS> 0
0
0
<COMMON> 65
<OTHER-SE> 302,050
<TOTAL-LIABILITY-AND-EQUITY> 341,249
<SALES> 120,387
<TOTAL-REVENUES> 120,387
<CGS> 49,188
<TOTAL-COSTS> 49,188
<OTHER-EXPENSES> 30,760
<LOSS-PROVISION> 696
<INTEREST-EXPENSE> 49
<INCOME-PRETAX> 44,278
<INCOME-TAX> 17,826
<INCOME-CONTINUING> 26,452
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 26,452
<EPS-BASIC> .56
<EPS-DILUTED> .41
</TABLE>
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