<ARTICLE> 5 <PERIOD-TYPE> 3-MOS 3-MOS <FISCAL-YEAR-END> JUL-31-1997 JUL-31-1996 <PERIOD-START> AUG-01-1996 AUG-01-1995 <PERIOD-END> OCT-31-1996 OCT-31-1995 <CASH> 41,341,678 44,142,187 <SECURITIES> 0 0 <RECEIVABLES> 3,367,253 3,493,925 <ALLOWANCES> 260,000 200,000 <INVENTORY> 0 0 <CURRENT-ASSETS> 46,766,871 49,450,228 <PP&E> 2,330,440 1,711,105 <DEPRECIATION> 476,893 305,337 <TOTAL-ASSETS> 50,666,012 53,660,575 <CURRENT-LIABILITIES> 9,203,517 9,476,418 <BONDS> 0 0 <PREFERRED-MANDATORY> 0 0 <PREFERRED> 0 0 <COMMON> 137,929 137,929 <OTHER-SE> 41,252,899 43,968,228 <TOTAL-LIABILITY-AND-EQUITY> 41,390,828 53,660,575 <SALES> 3,662,986 215,041 <TOTAL-REVENUES> 3,662,986 215,041 <CGS> 2,088,183 183,946 <TOTAL-COSTS> 7,004,303 498,935 <OTHER-EXPENSES> 0 0 <LOSS-PROVISION> 0 0 <INTEREST-EXPENSE> 0 0 <INCOME-PRETAX> (2,758,992) (279,513) <INCOME-TAX> 0 0 <INCOME-CONTINUING> (2,758,992) (279,513) <DISCONTINUED> 0 0 <EXTRAORDINARY> 0 0 <CHANGES> 0 0 <NET-INCOME> (2,758,992) (279,513) <EPS-PRIMARY> (0.20) (0.03) <EPS-DILUTED> (0.20) (0.03)