Delaware (State or other jurisdiction of incorporation or organization)		91-1715963 (IRS Employer Identification)
650 Almanor Avenue Sunnyvale, California (Address of principal executive offices)		94085 (Zip Code)

Class		Outstanding At November 29, 2002
Common Stock, par value $0.0001		8,824,451

				PAGE
PART I.  FINANCIAL INFORMATION
Item 1.		Condensed Consolidated Financial Statements (Unaudited)
		Condensed Consolidated Balance Sheets as of October 31, 2002 and April 30, 2002		1
		Condensed Consolidated Statements of Operations for the three and six months ended October 31, 2002 and 2001		2
		Condensed Consolidated Statements of Cash Flows for the six months ended October 31, 2002 and 2001		3
		Notes to Condensed Consolidated Financial Statements		4 - 9
Item 2.		Management’s Discussion and Analysis of Financial Condition and Results of Operations		10-27
Item 3.		Quantitative and Qualitative Disclosures About Market Risk		27
Item 4.		Evaluation of Disclosure Controls and Procedures		28
PART II.  OTHER INFORMATION
Item 1.		Legal Proceedings		28-29
Item 2.		Changes in Securities and Use of Proceeds		29
Item 4.		Submission of Matters to a Vote of Security Holders		29
Item 5.		Other Information		30
Item 6.		Exhibits and Reports on Form 8-K		30-31
		Signatures		32
		Certifications		33-34

		October 31, 2002				April 30, 2002
		(Unaudited)
ASSETS
Current assets:
Cash and cash equivalents		$	14,404			$	12,480
Short-term investments			13,042				27,466
Accounts receivable, net			7,700				6,100
Inventories			1,876				1,988
Prepaid expenses and other current assets			901				1,576
Total current assets			37,923				49,610
Property and equipment, net			4,439				6,047
Restricted investments			1,991				1,991
Other assets			1,080				1,066
Total assets		$	45,433			$	58,714
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable		$	1,776			$	2,558
Accrued payroll and related benefits			2,621				2,594
Deferred revenue			7,072				6,153
Other accrued liabilities			5,858				8,562
Total current liabilities			17,327				19,867
Accrued restructuring reserve			5,708				7,182
Deferred revenue			1,213				1,401
Total liabilities			24,248				28,450
Commitments
Stockholders' equity:
Common stock			1				4
Additional paid-in capital			884,035				883,964
Treasury stock			(903	)			(895	)
Notes receivable from stockholders			(23	)			(57	)
Deferred stock compensation			(1,698	)			(3,622	)
Accumulated deficit			(860,259	)			(849,123	)
Accumulated other comprehensive income (loss)			32				(7	)
Total stockholders' equity			21,185				30,264
Total liabilities and stockholders' equity		$	45,433			$	58,714

		Three Months Ended October 31,								Six Months Ended October 31,
		2002				2001				2002				2001
Net sales		$	11,218			$	13,197			$	22,253			$	33,640
Cost of goods sold			4,473				6,191				9,058				14,402
Gross profit			6,745				7,006				13,195				19,238
Operating expenses:
Research and development			2,852				8,944				6,397				18,674
Sales and marketing			7,050				7,603				13,541				16,990
General and administrative			1,274				3,025				2,685				5,176
Stock compensation			780				5,311				1,906				13,158
Goodwill amortization			—				9,180				—				25,632
Restructuring			—				2,558				—				2,558
Asset impairment			—				58,043				—				120,988
Total operating expenses			11,956				94,664				24,529				203,176
Operating loss			(5,211	)			(87,658	)			(11,334	)			(183,938	)
Interest income			147				602				296				1,434
Other income (expense)			(55	)			(52	)			(13	)			(74	)
Net loss before income taxes			(5,119	)			(87,108	)			(11,051	)			(182,578	)
Provision for income taxes			(54	)			(107	)			(85	)			(243	)
Net loss		$	(5,173	)		$	(87,215	)		$	(11,136	)		$	(182,821	)
Basic and diluted net loss per common share		$	(0.59	)		$	(10.58	)		$	(1.28	)		$	(22.35	)
Shares used in computing basic and diluted net loss per common share			8,756				8,243				8,722				8,180

		Six Months Ended
		October 31,
		2002				2001
Operating Activities
Net loss		$	(11,136	)		$	(182,821	)
Adjustments to reconcile net loss to net cash used
in operating activities:
Depreciation and amortization			1,457				2,247
Stock compensation			1,906				13,158
Goodwill amortization			—				25,632
Asset impairment			—				120,988
Interest on notes receivable from stockholders			(9	)			(15	)
Changes in operating assets and liabilities:
Accounts receivable			(1,600	)			6,324
Inventories			112				1,714
Prepaid expenses and other current assets			675				1,876
Other assets			(14	)			(19	)
Accounts payable			(782	)			(3,582	)
Accrued liabilities			(3,368	)			(4,916	)
Deferred revenue			731				(430	)
Net cash used in operating activities