<ARTICLE> 5 <LEGEND> THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM SEC FORM 10-Q AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS </LEGEND> <MULTIPLIER> 1000 <PERIOD-TYPE> 6-MOS <FISCAL-YEAR-END> JAN-31-1998 <PERIOD-END> JUL-31-1997 <CASH> 4,179 <SECURITIES> 3,889 <RECEIVABLES> 6,429 <ALLOWANCES> 292 <INVENTORY> 0 <CURRENT-ASSETS> 15,192 <PP&E> 7,496 <DEPRECIATION> 4,943 <TOTAL-ASSETS> 19,143 <CURRENT-LIABILITIES> 5,996 <BONDS> 0 <PREFERRED-MANDATORY> 0 <PREFERRED> 271 <COMMON> 130 <OTHER-SE> 12,745 <TOTAL-LIABILITY-AND-EQUITY> 19,143 <SALES> 6,123 <TOTAL-REVENUES> 8,638 <CGS> 1,450 <TOTAL-COSTS> 2,065 <OTHER-EXPENSES> 4,554 <LOSS-PROVISION> (78) <INTEREST-EXPENSE> 1 <INCOME-PRETAX> (7,778) <INCOME-TAX> 0 <INCOME-CONTINUING> (7,778) <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> (7,778) <EPS-PRIMARY> (0.60) <EPS-DILUTED> (0.60)