UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549


                                  SCHEDULE 13G

                    Under the Securities Exchange Act of 1934

                           (Amendment No. __________)*

                        Integrated Surgical Systems, Inc.
- --------------------------------------------------------------------------------
                                (Name of Issuer)

                                  Common Stock
- --------------------------------------------------------------------------------
                         (Title of Class of Securities)

                                   45812Y-10-8
- --------------------------------------------------------------------------------
                                 (CUSIP Number)

Check the following box if a fee is being paid with this statement |X|. (A fee
is not required only if the filing person: (1) has a previous statement on file
reporting beneficial ownership of more than five percent of the class of
securities described in Item 1; and (2) has filed no amendment subsequent
thereto reporting beneficial ownership of five percent or less of such class.)
(See Rule 13d-7).

*The remainder of this cover page shall be filled out for a reporting person's
initial filing on this form with respect to the subject class of securities, and
for any subsequent amendment containing information which would alter the
disclosures provided in a prior cover page.

The information required in the remainder of this cover page shall not be deemed
to be "filed" for the purpose of Section 18 of the Securities Exchange Act of
1934 ("Act") or otherwise subject to the liabilities of that section of the Act
but shall be subject to all other provisions of the Act (however, see the
Notes).


                                Page 1 of 4 pages



CUSIP No. 45812Y-10-8                  13G                 Page ___ of ___ Pages

================================================================================
 1   NAME OF REPORTING PERSON
     S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON

       International Business Machines Corporation
       EIN No. 13-0871985

- --------------------------------------------------------------------------------
 2   CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP*                  (a)  |_|
                                                                        (b)  |_|

- --------------------------------------------------------------------------------
 3   SEC USE ONLY


- --------------------------------------------------------------------------------
 4   CITIZENSHIP OR PLACE OF ORGANIZATION

- --------------------------------------------------------------------------------
                   5     SOLE VOTING POWER
   NUMBER OF
                           2,274,066
     SHARES        -------------------------------------------------------------
                   6     SHARED VOTING POWER      
  BENEFICIALLY
                           0
    OWNED BY      --------------------------------------------------------------
                   7     SOLE DISPOSITIVE POWER  
     EACH
                           2,274,066
   REPORTING      --------------------------------------------------------------
                   8     SHARED DISPOSITIVE POWER
  PERSON WITH
                           0
- --------------------------------------------------------------------------------
 9   AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON

       2,274,066
- --------------------------------------------------------------------------------
10   CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES*   |_|


- --------------------------------------------------------------------------------
11   PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW 9

       59.8%
- --------------------------------------------------------------------------------
12   TYPE OF REPORTING PERSON*

       CO
================================================================================

                      *SEE INSTRUCTION BEFORE FILLING OUT!


                                  Page 2 of 4 pages



                              SCHEDULE 13G FILED ON
              BEHALF OF INTERNATIONAL BUSINESS MACHINES CORPORATION
                   REGARDING INTEGRATED SURGICAL SYSTEMS, INC.


ITEM 1

     (a)  Name of Issuer: Integrated Surgical Systems, Inc.

     (b)  Address of Issuer: Principal Executive Offices:

               829 Stadium Lane
               Sacramento, CA  95834

ITEM 2

     (a)  Name of Person Filing: International Business Machines Corporation

     (b)  Address of Principal Business Office:

               Old Orchard Road
               Armonk, NY 10504

     (c)  Citizenship: New York, USA

     (d)  Title of Class of Securities: Common Stock

     (e)  CUSIP Number: 459200-10-1

ITEM 3    

     Not Applicable



ITEM 4

     (a) Amount Beneficially Owned: 2,274,066 Common Shares

     (b) Percent of Class: 59.8%

     (c) Number of Shares as to which such person has:

         (i)   sole power to vote or to direct the vote                2,274,066

         (ii)  shared power to vote or to direct the vote                 N/A

         (iii) sole power to dispose or to direct the disposition of   2,274,066

         (iv)  shared power to dispose or to direct the disposition of    N/A

ITEM 5   Not Applicable

ITEM 6   Not Applicable

ITEM 7   Not Applicable

ITEM 8   Not Applicable

ITEM 9   Not Applicable

ITEM 10  Signature

     After reasonable inquiry and to the best of my knowledge and belief, I
certify that the information set forth in this statement is true, complete and
correct.



                                               January 20, 1997
                                       --------------------------------
                                                     Date


                                       /s/ John E. Hickey
                                       --------------------------------
                                                Signature


                                       Name:  John E. Hickey
                                       Title: Vice President, Secretary and
                                              Assistant General Counsel