<ARTICLE>                     5
<LEGEND>
                              This schedule contains summary financial 
                              information extracted from VTEL Corporation's 
                              Balance Sheet & Income Statement for the six 
                              months ended January 31, 1999, and is qualified in
                              its entirety by reference to such quarterly report
                              on Form 10-Q filing.
</LEGEND>
<CIK>                         0000884144
<NAME>                        VTEL Corporation
<MULTIPLIER>                  1,000
<CURRENCY>                    U.S. Dollars
       
                             
<PERIOD-TYPE>                 3-MOS
<FISCAL-YEAR-END>             JUL-31-1999
<PERIOD-START>                NOV-1-1998
<PERIOD-END>                  JAN-31-1999
<EXCHANGE-RATE>               1
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<SECURITIES>                  15,483
<RECEIVABLES>                 36,253
<ALLOWANCES>                  (1,032)
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<CURRENT-ASSETS>              77,989
<PP&E>                        71,812
<DEPRECIATION>                (40,977)
<TOTAL-ASSETS>                130,254
<CURRENT-LIABILITIES>         43,934
<BONDS>                       0
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<TOTAL-LIABILITY-AND-EQUITY>  130,254
<SALES>                       37,635
<TOTAL-REVENUES>              37,635
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<CHANGES>                     0
<NET-INCOME>                  (7,639)
<EPS-PRIMARY>                 (.33)
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