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Proc-Type: 2001,MIC-CLEAR
Originator-Name: webmaster@www.sec.gov
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<SEC-DOCUMENT>0000912057-00-012126.txt : 20000320
<SEC-HEADER>0000912057-00-012126.hdr.sgml : 20000320
ACCESSION NUMBER:		0000912057-00-012126
CONFORMED SUBMISSION TYPE:	8-K
PUBLIC DOCUMENT COUNT:		2
CONFORMED PERIOD OF REPORT:	20000302
ITEM INFORMATION:		
ITEM INFORMATION:		
FILED AS OF DATE:		20000317

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			ODS NETWORKS INC
		CENTRAL INDEX KEY:			0000736012
		STANDARD INDUSTRIAL CLASSIFICATION:	COMPUTER COMMUNICATIONS EQUIPMENT [3576]
		IRS NUMBER:				751911917
		STATE OF INCORPORATION:			DE
		FISCAL YEAR END:			1231

	FILING VALUES:
		FORM TYPE:		8-K
		SEC ACT:		
		SEC FILE NUMBER:	000-20191
		FILM NUMBER:		572096

	BUSINESS ADDRESS:	
		STREET 1:		1101 E ARAPAHO ROAD
		CITY:			RICHARDSON
		STATE:			TX
		ZIP:			75081
		BUSINESS PHONE:		9722346400

	MAIL ADDRESS:	
		STREET 1:		1101 E ARAPAHO ROAD
		CITY:			RICHRICHARDSON
		STATE:			TX
		ZIP:			75081

	FORMER COMPANY:	
		FORMER CONFORMED NAME:	OPTICAL DATA SYSTEMS INC
		DATE OF NAME CHANGE:	19950517
</SEC-HEADER>
<DOCUMENT>
<TYPE>8-K
<SEQUENCE>1
<DESCRIPTION>8-K
<TEXT>


<PAGE>

                       SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549

                                  ------------


                                    FORM 8-K

                                 CURRENT REPORT

                                   PURSUANT TO

                           SECTION 13 OR 15(d) OF THE

                         SECURITIES EXCHANGE ACT OF 1934



Date of Report (Date of earliest event reported):         March 2, 2000
                                                 ------------------------------


                               ODS NETWORKS, INC.
- --------------------------------------------------------------------------------
             (Exact Name of Registrant as Specified in Its Charter)


                                    Delaware
- --------------------------------------------------------------------------------
                 (State of Other Jurisdiction of Incorporation)


000-20191                                                       75-1911917
- --------------------------------------------------------------------------------
(Commission File Number)                                       (IRS Employer
                                                            Identification No.)


1101 East Arapaho Road, Richardson, Texas                                  75081
- --------------------------------------------------------------------------------
(Address of Principal Executive Offices)                              (Zip Code)


                                 (972) 234-6400
- --------------------------------------------------------------------------------
              (Registrant's Telephone Number, Including Area Code)


                                       N/A
- --------------------------------------------------------------------------------
          (Former Name or Former Address, if Changed Since Last Report)


<PAGE>





ITEM 2.  ACQUISITION OR DISPOSITION OF ASSETS.

     On March 2, 2000, the Registrant sold its investment of 770,745 shares of
the common stock of Alteon WebSystems, Inc. ("Alteon") (Nasdaq:ATON) for $87.00
per share generating cash of approximately $67.1 million. The stock was
purchased by HBK Master Fund L.P. ("HBK"), an unrelated party of the Registrant.

     The text of Registrant's press release announcing the stock sale is
attached hereto as Exhibit 99.1 and is incorporated herein by reference.

ITEM 7.  FINANCIAL STATEMENTS AND EXHIBITS.

         (a)      FINANCIAL STATEMENTS OF BUSINESSES ACQUIRED: Not applicable.

         (b)      PRO FORMA FINANCIAL INFORMATION. Not applicable.

         (c)      EXHIBITS.

                  99.1     Text of press release of the Registrant, dated March
                           6, 2000, announcing the stock sale.


<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 hereunto duly authorized.



                                           ODS NETWORKS, INC.



Dated:  March 17, 2000                     By:        /s/ Jay R. Widdig
                                              --------------------------------
                                                   Jay R. Widdig,
                                                   Chief Financial Officer




<PAGE>


                                  EXHIBIT INDEX

Exhibit No.                Description of Exhibit
- -----------                ----------------------

99.1                       Text of press release of the Registrant, dated
                           March 6, 2000, announcing the stock sale.

</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-99.1
<SEQUENCE>2
<DESCRIPTION>EXHIBIT 99.1
<TEXT>

<PAGE>

[LOGO]
                                                                    NEWS RELEASE
- --------------------------------------------------------------------------------


               ODS REPORTS SALE OF ALTEON WEBSYSTEMS, INC. SHARES

         RICHARDSON, TEXAS - MARCH 6, 2000 - ODS Networks, Inc. (NASDAQ: ODSI)
today reported that the company sold a total of 770,745 shares of the common
stock of Alteon WebSystems, Inc. (NASDAQ: ATON) for approximately $67.1 million.
ODS expects to report a pre-tax gain of approximately $66.4 million from the
sale of the Alteon WebSystems shares in the quarter ending March 31, 2000.

         ODS Networks Inc. (NASDAQ: ODSI) is a leading worldwide provider of
enterprise data security and networking solutions. The company's security
solutions include their 'Best-of-breed' integrated security appliance,
SecureCom(TM), the widely deployed intrusion detection and vulnerability
assessment tools, Kane Security Analyst(TM) and Kane Security Monitor(TM), and
the state-of-the-art behavioral modeling and intrusion detection security
solution, CMDS(TM) (Computer Misuse Detection System). ODS Networks' wide array
of security solutions enable customers to provide thorough and customized
information protection for corporate and government networks, intranets,
extranets and electronic commerce environments. More information about ODS
Networks is available at http://www.ods.com.

                                      # # #

ODS is a registered trademark and SecureCom, Kane Security Analyst, Kane
Security Monitor and CMDS are trademarks of ODS Networks, Inc. All other
trademarks are the property of their respective owners.

For more information, contact:

Billy Austin                                Charleigh Shayne
ODS Networks                                ODS Networks
Vice President of Marketing                 Director of Investor Relations
972-664-8040                                972-664-8061
</TEXT>
</DOCUMENT>
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