<PAGE>

                                                                    EXHIBIT 10.6





                                  MOSCAPE, INC

                            1997 INCENTIVE STOCK PLAN
                                 (as amended)
<PAGE>

                               TABLE OF CONTENTS
                               -----------------

<TABLE>
<CAPTION>
                                                                        Page
                                                                        ----
<S>                                                                     <C>
SECTION 1.   PURPOSE....................................................   1

SECTION 2.   DEFINITIONS................................................   1
        (a)  Board......................................................   1
        (c)  Code.......................................................   1
        (d)  Committee..................................................   1
        (e)  Common Stock...............................................   2
        (f)  Company....................................................   2
        (g)  Consultant.................................................   2
        (h)  Employee...................................................   2
        (i)  Exercise Price.............................................   2
        (j)  Fair Market Value..........................................   2
        (k)  Incentive Stock Option or ISO..............................   2
        (l)  Non-Employee Director......................................   2
        (m)  Nonstatutory Option or NSO.................................   2
        (n)  Offeree....................................................   2
        (o)  Option.....................................................   2
        (p)  Optionee...................................................   2
        (r)  Plan.......................................................   2
        (s)  Purchase Price.............................................   2
        (t)  Service....................................................   2
        (u)  Stock Option Agreement.....................................   3
        (v)  Stock Purchase Agreement...................................   3
        (w)  Subsidiary.................................................   3
        (x)  10% Stockholder............................................   3

SECTION 3.   ADMINISTRATION.............................................   3
        (a)  Committees of the Board....................................   3
        (b)  Authority of the Board.....................................   3

SECTION 4.   ELIGIBILITY................................................   3

SECTION 5.   STOCK SUBJECT TO PLAN......................................   3
        (a)  Basic Limitation...........................................   3
        (b)  Additional Shares..........................................   4

SECTION 6.   TERMS AND CONDITIONS OF GRANTS OR SALES....................   4
        (a)  Stock Purchase Agreement...................................   4
        (b)  Duration of Offers and Nontransferability of Rights........   4
        (c)  Purchase Price.............................................   4
        (d)  Withholding Taxes..........................................   4
        (e)  Restrictions on Transfer of Common Stock...................   4
</TABLE>
<PAGE>

<TABLE>
<S>                                                                       <C>
SECTION 7.   TERMS AND CONDITIONS OF OPTIONS............................   5
        (a)  Stock Option Agreement.....................................   5
        (b)  Number of Shares...........................................   5
        (c)  Exercise Price.............................................   5
        (d)  Withholding Taxes..........................................   5
        (e)  Exercisability.............................................   5
        (f)  Term.......................................................   6
        (g)  Nontransferability.........................................   6
        (h)  Exercise of Options on Termination of Service..............   6
        (i)  No Rights as a Stockholder.................................   6
        (j)  Modification, Extension and Assumption of Options..........   6
        (k)  Restrictions on Transfer...................................   6

SECTION 8.   FORMS OF PAYMENT...........................................   7
        (a)  General Rule...............................................   7
        (b)  Surrender of Stock.........................................   7
        (c)  Promissory Notes...........................................   7
        (d)  Cashless Exercise..........................................   7

SECTION 9.   ADJUSTMENTS UPON CHANGES IN COMMON STOCK...................   7
        (a)  General....................................................   7
        (b)  Mergers and Consolidations.................................   8
        (c)  Reservation of Rights......................................   8

SECTION 10.  LEGAL REQUIREMENTS.........................................   8
        (b)  Financial Reports..........................................   8

SECTION 11.  NO EMPLOYMENT RIGHTS.......................................   9

SECTION 12.  DURATION AND AMENDMENTS....................................   9
        (a)  Term of the Plan...........................................   9
        (b)  Right to Amend or Terminate the Plan.......................   9
        (c)  Effect of Amendment or Termination.........................   9

SECTION 13.  EXECUTION..................................................  10
</TABLE>
<PAGE>

                                 MOSCAPE, INC.

                           1997 INCENTIVE STOCK PLAN


SECTION 1.  PURPOSE.

        The purpose of the Plan is to offer selected employees, directors and
consultants an opportunity to acquire a proprietary interest in the success of
the Company, or to increase such interest, to encourage such persons to remain
in the employ of the Company and to attract new employees with outstanding
qualifications.

        The Plan provides for the direct grant or sale of Common Stock and for
the grant of Options to purchase Common Stock. Options granted under the Plan
may include Nonstatutory Options as well as Incentive Stock Options intended to
qualify under section 422 of the Internal Revenue Code.

SECTION 2.  DEFINITIONS.

        (a)  "Board" shall mean the Board of the Company, as constituted from
time to time.

        (b)  "Change in Control" shall mean:

                  (i)  The consummation of a merger or consolidation of the
        Company with or into another entity or any other corporate
        reorganization, if more than 50% of the combined voting power of the
        continuing or surviving entity's securities outstanding immediately
        after such merger, consolidation or other reorganization is owned by
        persons who were not stockholders of the Company immediately prior to
        such merger, consolidation or other reorganization; or

                  (ii) The sale, transfer or other disposition of all or
        substantially all of the Company's assets.

A transaction shall not constitute a Change in Control if its sole purpose is to
change the state of the Company's incorporation or to create a holding company
that will be owned in substantially the same proportions by the persons who held
the Company's securities immediately before such transaction.

        (c)  "Code" shall mean the Internal Revenue Code of 1986, as amended.

        (d) "Committee" shall mean a committee consisting of one or more members
of the Board that is appointed by the Board to administer the Plan.

        (e)  "Common Stock" means the Company's common stock.

        (f)  "Company" shall mean Moscape, Inc., a Delaware corporation.
<PAGE>

        (g) "Consultant" shall mean an individual who performs bona fide
services to the Company, a Parent or a Subsidiary other than as an Employee or a
member of the Board.

        (h) "Employee" shall mean any individual who is a common-law employee of
the Company, a Parent or a Subsidiary.

        (i) "Exercise Price" shall mean the amount for which one share of Common
Stock may be purchased upon exercise of an Option, as specified by the Board in
the applicable Stock Option Agreement.

        (j) "Fair Market Value" shall mean the fair market value of a share of
Common Stock, as determined by the Board in good faith. Such determination shall
be conclusive and binding on all persons.

        (k) "Incentive Stock Option" or "ISO" shall mean an incentive stock
option described in Code section 422(b).

        (l) "Non-Employee Director" shall mean a member of the Board who is not
an Employee.

        (m) "Nonstatutory Option" or "NSO" shall mean a stock option that is not
an ISO.

        (n) "Offeree" shall mean an individual to whom the Board has offered the
right to acquire Common Stock other than upon exercise of an Option.

        (o) "Option" shall mean an ISO or NSO granted under the Plan entitling
the holder to purchase Common Stock.

        (p) "Optionee" shall mean an individual who holds an Option.

        (q) "Parent" shall have the meaning set forth in Section 424(e) of the
Code.

        (r) "Plan" shall mean this 1997 Incentive Stock Plan.

        (s) "Purchase Price" shall mean the consideration for which one share of
Common Stock may be acquired under the Plan pursuant to a grant or sale under
Section 6, as specified by the Board.

        (t) "Service" shall mean service as an Employee, Non-Employee Director
or Consultant.

        (u) "Stock Option Agreement" shall mean the agreement between the
Company and an Optionee that contains the terms, conditions and restrictions
pertaining to an Option.

        (v) "Stock Purchase Agreement" shall mean the agreement between the
Company and an Offeree who acquires Common Stock under the Plan (other than
pursuant to an Option) that contains the terms, conditions and restrictions
pertaining to the acquisition of such Common Stock.
<PAGE>

        (w) "Subsidiary" shall have the meaning set forth in Section 424(f) of
the Code.

        (x) "10% Stockholder" means an individual who owns more than 10% of the
total combined voting power of all classes of outstanding stock of the Company,
its Parent or any of its Subsidiaries. For purposes of this Subsection (b), in
determining stock ownership, the attribution rules of Section 424(d) of the Code
shall be applied.

SECTION 3. ADMINISTRATION.

        (a) Committees of the Board. The Plan shall be administered by the
Board. However, any or all administrative functions otherwise exercisable by the
Board may be delegated to a Committee. Members of the Committee shall serve for
such period of time as the Board may determine and shall be subject to removal
by the Board at any time. The Board may also at any time terminate the functions
of the Committee and reassume all powers and authority previously delegated to
the Committee. Any reference to the Board in the Plan shall be construed as a
reference to the Committee (if any) to whom the Board has assigned a particular
function.

        (b) Authority of the Board. Subject to the provisions of the Plan, the
Board shall have full authority and discretion to take any actions it deems
necessary or advisable for the administration of the Plan. All decisions,
interpretations and other actions of the Board shall be final and binding on all
parties who have an interest in the Plan or any option or shares issued
thereunder.

SECTION 4. ELIGIBILITY. Only Employees, Non-Employee Directors and Consultants
shall be eligible for the grant of Options or the direct grant or sale of Common
Stock. Only Employees shall be eligible for the grant of ISOs.

SECTION 5. STOCK SUBJECT TO PLAN.

        (a) Basic Limitation. The stock issuable under the Plan shall be shares
of authorized but unissued or reacquired Common Stock. The maximum number of
shares of Common Stock which may be issued under the Plan shall not exceed
4,096,828 shares, subject to adjustment pursuant to Section 9.

        (b) Additional Shares. If any outstanding Option or other right to
acquire Common Stock for any reason expires or is canceled, forfeited or
otherwise terminated, the Common Stock allocable to the unexercised portion of
such Option or other right shall again be available for the purposes of the
Plan. If shares of Common Stock issued under the Plan are reacquired by the
Company pursuant to any right of repurchase or right of first refusal, such
shares of Common Stock shall again be available for the purposes of the Plan,
except that the aggregate number of shares of Common Stock that may be issued
upon the exercise of ISOs shall in no event exceed the number of shares of
Common Stock reserved for issuance pursuant to paragraph (a) above plus the
number of previously optioned shares returned to the Plan pursuant to the first
sentence of this paragraph, as adjusted pursuant to Section 9.
<PAGE>

SECTION 6. TERMS AND CONDITIONS OF GRANTS OR SALES.

        (a) Stock Purchase Agreement. Each grant or sale of Common Stock under
the Plan other than upon exercise of an Option shall be evidenced by a Stock
Purchase Agreement between the Offeree and the Company. Such grant or sale shall
be subject to all applicable terms and conditions of the Plan and may be subject
to any other terms and conditions that are not inconsistent with the Plan and
that the Board deems appropriate for inclusion in a Stock Purchase Agreement.
The provisions of the various Stock Purchase Agreements entered into under the
Plan need not be identical.

        (b) Duration of Offers and Nontransferability of Rights. Any right to
acquire Common Stock under the Plan other than an Option shall automatically
expire if not exercised by the Offeree within the number of days specified by
the Board and communicated to the Offeree. Such right shall not be transferable
and shall be exercisable only by the Offeree to whom such right was granted.

        (c) Purchase Price. The Purchase Price shall be established by the Board
and set forth in the Stock Purchase Agreement and, to the extent required to
comply with the California Corporations Code or the regulations thereunder,
shall not be less than 85% of Fair Market Value (100% for 10% Stockholders). The
Purchase Price shall be payable in a form described in Section 8 or, in the
discretion of the Board, in consideration for past services rendered to the
Company or for its benefit.

        (d) Withholding Taxes. As a condition to the purchase of Common Stock,
the Offeree shall make such arrangements as the Board may require for the
satisfaction of any federal, state or local withholding tax obligations that may
arise in connection with such purchase.

        (e) Restrictions on Transfer of Common Stock. No Common Stock granted or
sold under the Plan may be sold or otherwise transferred or disposed of by the
Offeree during the one hundred eighty (180) day period following the effective
date of a registration statement covering securities of the Company filed under
the Securities Act of 1933 (unless such restriction is consented to or waived by
the managing underwriter). Subject to the preceding sentence, any Common Stock
granted or sold under the Plan shall be subject to such special conditions,
rights of repurchase, rights of first refusal and other transfer restrictions as
the Board may determine. Such restrictions shall apply in addition to any
general restrictions that may apply to all holders of Common Stock.

SECTION 7. TERMS AND CONDITIONS OF OPTIONS.

        (a)  Stock Option Agreement. Each grant of an Option under the Plan
shall be evidenced by a Stock Option Agreement between the Optionee and the
Company. Such Option shall be subject to all applicable terms and conditions of
the Plan and may be subject to any other terms and conditions that are not
inconsistent with the Plan and that the Board deems appropriate for inclusion in
a Stock Option Agreement. The provisions of the various Stock Option Agreements
entered into under the Plan need not be identical.
<PAGE>

        (b) Number of Shares. Each Stock Option Agreement shall specify the
number of shares of Common Stock that are subject to the Option and shall
provide for the adjustment of such number in accordance with Section 9. The
Stock Option Agreement shall also specify whether the Option is an ISO or an
NSO.

        (c) Exercise Price. An Option's Exercise Price shall be established by
the Board and set forth in a Stock Option Agreement. The Exercise Price of an
ISO shall not be less than 100% of the Fair Market Value (110% for 10%
Stockholders) on the date of grant. The Exercise Price of a Nonstatutory Option
shall not be less than 85% of the Fair Market Value (110% for 10% Stockholders)
on the date of grant. The Exercise Price shall be payable in a form described in
Section 8. Notwithstanding the foregoing, an Option may be granted with an
exercise price lower than that set prescribed in this paragraph if the Option
grant is attributable to the issuance or assumption of an option in a
transaction to which Code section 424(a) applies.

        (d) Withholding Taxes. As a condition to the exercise of an Option, the
Optionee shall make such arrangements as the Board may require for the
satisfaction of any federal, state, local or foreign withholding tax obligations
that may arise in connection with such exercise. The Optionee shall also make
such arrangements as the Board may require for the satisfaction of any federal,
state, local or foreign withholding tax obligations that may arise in connection
with the disposition of Common Stock acquired by exercising an Option.

        (e) Exercisability. Each Stock Option Agreement shall specify the date
when all or any installment of the Option is to vest or become exercisable. To
the extent required to comply with the California Corporation Code or the
regulations thereunder, an Option granted to Employees who are not officers
shall vest and become exercisable no less rapidly than the rate of 20% per year
for each of the first five (5) years from the date of grant. Subject to the
preceding sentence, the vesting of any Option shall be determined by the Board
in its sole discretion. A Stock Option Agreement may permit an Optionee to
exercise an Option before it is vested, subject to the Company's right of
repurchase over any shares acquired under the unvested portion of the Option (an
"early exercise"), which right of repurchase shall lapse at the same rate the
Option would have vested had there been no early exercise.

        (f) Term. The Stock Option Agreement shall specify the term of the
Option. The term shall not exceed ten (10) years from the date of grant (5 years
in the case of an ISO granted to a Ten Percent Stockholder). Subject to the
preceding sentence, the Board at its sole discretion shall determine when an
Option is to expire.

        (g) Nontransferability. No Option shall be transferable by the Optionee
other than by will or by the laws of descent and distribution. An Option may be
exercised during the lifetime of the Optionee only or by the guardian or legal
representative of the Optionee. No Option or interest therein may be
transferred, assigned, pledged or hypothecated by the Optionee during his
lifetime, whether by operation of law or otherwise, or be made subject to
execution, attachment or similar process.

        (h) Exercise of Options on Termination of Service. To the extent
required to comply with the California Corporation Code or the regulations
thereunder, each Stock Option Agreement shall provide that the Optionee shall
have the right to exercise the Option following termination of the Optionee's
Service, during the Option's term, for at least thirty (30) days
<PAGE>

following termination of Service for any reason except cause, death or
disability, and for at least six (6) months following termination of Service due
to death or disability.

        (i) No Rights as a Stockholder. An Optionee, or a transferee of an
Optionee, shall have no rights as a stockholder with respect to any Common Stock
covered by an Option until such person becomes entitled to receive such Common
Stock by filing a notice of exercise and paying the Exercise Price pursuant to
the terms of such Option.

        (j) Modification, Extension and Assumption of Options. Within the
limitations of the Plan, the Board may modify, extend or assume outstanding
Options or may accept the cancellation of outstanding Options (whether granted
by the Company or another issuer) in return for the grant of new Options for the
same or a different number of shares of Common Stock and at the same or a
different Exercise Price. The foregoing notwithstanding, no modification of an
Option shall, without the consent of the Optionee, impair the Optionee's rights
or increase the Optionee's obligations under such Option.

        (k) Restrictions on Transfer. No shares of Common Stock issued upon
exercise of an Option may be sold or otherwise transferred or disposed of by the
Optionee during the one hundred eighty (180) day period following the effective
date of a registration statement covering securities of the Company filed under
the Securities Act of 1933 (unless such restriction is consented to or waived by
the managing underwriter). Subject to the preceding sentence, any Common Stock
issued upon exercise of an Option shall be subject to such rights of repurchase,
rights of first refusal and other transfer restrictions as the Board may
determine. Such restrictions shall apply in addition to any restrictions that
may apply to holders of Common Stock generally. Any right to repurchase an
Optionee's Common Stock at the original Exercise Price upon termination of the
Optionee's Service shall lapse at least as rapidly as the schedule set forth in
Subsection (e) above. Any such repurchase right may be exercised only within
ninety (90) days after the termination of the Optionee's Service for cash or for
cancellation of indebtedness incurred in purchasing the Common Stock.

SECTION 8. FORMS OF PAYMENT.

        (a) General Rule. The entire Purchase Price or Exercise Price shall be
payable in cash or cash equivalents acceptable to the Company at the time of
exercise or purchase, except as otherwise provided in this Section 8.

        (b) Surrender of Stock. To the extent that a Stock Option Agreement or
Stock Purchase Agreement so provides, payment may be made all or in part with
Common Stock that has already been owned by the Optionee or the Optionee's
representative for any time period specified by the Board and that are
surrendered to the Company in good form for transfer. Such Common Stock shall be
valued at Fair Market Value on the date when the new Common Stock is purchased
under the Plan.

        (c) Promissory Notes. To the extent that a Stock Option Agreement or
Stock Purchase agreement so provides, payment may be made all or in part with a
full recourse promissory note executed by the Optionee. The interest rate and
other terms and conditions of such note shall be determined by the Board. The
Board may require that the Optionee pledge his or her Common Stock to the
Company for the purpose of securing the payment of such note. In no
<PAGE>

event shall the stock certificate(s) representing such Common Stock be released
to the Optionee until such note is paid in full, unless otherwise provided in
the Stock Option Agreement or Stock Purchase Agreement.

        (d) Cashless Exercise. To the extent that a Stock Option Agreement so
provides and a public market for the Common Stock exists, payment may be made
all or in part by delivery (on a form acceptable to the Board) of an irrevocable
direction to a securities broker to sell Common Stock and to deliver all or part
of the sale proceeds to the Company in payment of the aggregate Exercise Price.

SECTION 9. ADJUSTMENTS UPON CHANGES IN COMMON STOCK.

        (a) General. In the event of a subdivision of the outstanding Common
Stock, a declaration of a dividend payable in Common Stock, a declaration of an
extraordinary dividend payable in a form other than Common Stock in an amount
that has a material effect on the value of Common Stock, a combination or
consolidation of the outstanding Common Stock into a lesser number of shares, a
recapitalization, a reclassification or a similar occurrence, the Board shall
make appropriate adjustments in one or more of (i) the number of shares of
Common Stock available for future grants of Options or other rights to acquire
Common Stock under Section 5, (ii) the number of shares of Common Stock covered
by each outstanding Option or other right to acquire Common Stock or (iii) the
Exercise Price of each outstanding Option or the Purchase Price of each other
right to acquire Common Stock.

        (b) Mergers and Consolidations. In the event that the Company is a party
to a merger or consolidation, outstanding Options or other rights to acquire
Common Stock shall be subject to the agreement of merger or reorganization. Such
agreement, without an Optionee's consent, may provide for:

                  (i)   The continuation of such outstanding Options by the
        Company (if the Company is the surviving corporation);

                  (ii)  The assumption of the Plan and such outstanding Options
        by the surviving corporation or its parent;

                  (iii) The substitution by the surviving corporation or its
        parent of options with substantially the same terms for such outstanding
        Options; or

                  (iv)  The cancellation of such outstanding Options without
        payment of any consideration, provided that in such event vesting of
        Options will accelerate in full.

        (c) Reservation of Rights. Except as provided in this Section 9, an
Optionee or Offeree shall have no rights by reason of (i) any subdivision or
consolidation of shares of stock of any class, (ii) the payment of any dividend,
or (iii) any other increase or decrease in the number of shares of stock of any
class. Any issue by the Company of shares of stock of any class, or securities
convertible into shares of stock of any class, shall not affect, and no
adjustment by reason thereof shall be made with respect to, the number of shares
of Common Stock subject to an Option, or the number of shares subject to any
other right to acquire Common Stock and/or the Exercise Price or Purchase Price.
The grant of an Option or other right to acquire Common
<PAGE>

Stock pursuant to the Plan shall not affect in any way the right or power of the
Company to make adjustments, reclassifications, reorganizations or changes of
its capital or business structure, to merge or consolidate or to dissolve,
liquidate, sell or transfer all or any part of its business or assets.

SECTION 10. LEGAL REQUIREMENTS.

        (a) Restrictions on Issuance. Common Stock shall not be issued under the
Plan unless the issuance and delivery of such Common Stock complies with (or is
exempt from) all applicable requirements of law, including (without limitation)
the Securities Act of 1933, as amended, the rules and regulations promulgated
thereunder, state securities laws and regulations, and the regulations of any
stock exchange on which the Company's securities may then be listed, and the
Company has obtained the approval or favorable ruling from any governmental
agency that the Company determines is necessary or advisable.

        (b) Financial Reports. To the extent required to comply with the
California Corporations Code or the regulations thereunder, not less often than
annually the Company shall furnish to Optionees and Offerees Company summary
financial information including a balance sheet regarding the Company's
financial condition and results of operations, unless such Optionees or Offerees
have duties with the Company that assure them access to equivalent information.
Such financial statements need not be audited.

SECTION 11. NO EMPLOYMENT RIGHTS.

        No provision of the Plan, nor any Option granted or other right to
acquire Common Stock granted under the Plan, shall be construed to give any
person any right to become, to be treated as, or to remain an Employee,
Consultant or Non-Employee Director. The Company and its Subsidiaries reserve
the right to terminate any person's Service at any time and for any reason.

SECTION 12. DURATION AND AMENDMENTS.

        (a) Term of the Plan. The Plan, as set forth herein, shall become
effective on the date of its adoption by the Board, subject to the approval of
the Company's stockholders. In the event that the stockholders fail to approve
the Plan within twelve (12) months after its adoption by the Board, any Option
grants or other right to acquire Common Stock already made shall be null and
void, and no additional Option grants or other right to acquire Common Stock
shall be made after such date. The Plan shall terminate automatically ten (10)
years after its adoption by the Board and may be terminated on any earlier date
pursuant to Subsection (b) below.

        (b) Right to Amend or Terminate the Plan. The Board may amend or
terminate the Plan at any time. Rights under any Option granted or other right
to acquire Common Stock granted before amendment of the Plan shall not be
materially impaired by any amendment or termination, except with consent of the
Optionee or Offeree. An amendment of the Plan shall be subject to the approval
of the Company's stockholders only to the extent required by applicable laws,
regulations or rules.
<PAGE>

        (c) Effect of Amendment or Termination. No Common Stock shall be issued
or sold under the Plan after the termination thereof, except upon exercise of an
Option granted prior to such termination. The termination of the Plan, or any
amendment thereof, shall not affect any Common Stock previously issued or Option
previously granted under the Plan.

SECTION 13. EXECUTION.

        To record the adoption of the Plan, the Company has caused its
authorized officer to execute the same.


                                                 MOSCAPE, INC.

                                                 /s/ Chandra Samanathan
                                                 -----------------------
                                                 By: Chandra Samanathan

                                                 Title: President & CEO
                                                       -----------------
<PAGE>

                                 MOSCAPE, INC.

                           1997 INCENTIVE STOCK PLAN

                            STOCK OPTION AGREEMENT

          Moscape, Inc., a Delaware corporation (the "Company"), hereby grants
an option to purchase its Common Stock to the optionee named below. The terms
and conditions of the option are set forth in this Stock Option Agreement and in
the Company's 1997 Incentive Stock Plan (the "Plan").

I.   GRANT INFORMATION

Grant Date:                              _______________________________________

Optionee Name:                           _______________________________________

Optionee's Social Security Number:       _________-______-________

Type of Option:                          [_] Incentive ("ISO")
                                         [_] Nonstatutory ("NSO")

Number of Shares of Common Stock:        _______________________________________

Exercise Price per Share:                _______________________________________

Vesting Start Date:                      _______________________________________

Vesting Schedule:                        Subject to attached Terms and
                                         Conditions: The Option shall vest as to
                                         12/48th of the shares on the one (1)
                                         year anniversary of the Vesting Start
                                         Date and 1/48th of the shares each full
                                         month of Service thereafter.

          By signing below, you agree to all of the terms and conditions
          described in this Stock Option Agreement, including the attached Terms
          and Conditions, Notice of Exercise and Plan.


Optionee________________________________________________________________________
                                  (Signature)


Company_________________________________________________________________________
                                  (Signature)

Title___________________________________________________________________________
<PAGE>

II.  TERMS AND CONDITIONS

     1.   Vesting. Your option vests during your Service on the dates specified
in the first page of this Stock Option Agreement. Vesting will cease if your
Service terminates for any reason.

     2.   Service; Leaves of Absence. Your Service shall cease when you cease to
be actively employed by, or a consultant or adviser to, the Company (or any
subsidiary) as determined in the sole discretion of the Board. For purposes of
your option, your Service does not terminate when you go on a bona fide leave of
absence, that was approved by the Company in writing, if the terms of the leave
provide for continued service crediting, or when continued service crediting is
required by applicable law. However, for purposes of determining whether your
option is entitled to ISO status, your Service will be treated as terminating
ninety (90) days after you went on leave, unless your right to return to active
work is guaranteed by law or by a contract. Your Service terminates in any event
when the approved leave ends, unless you immediately return to active work. The
Company determines which leaves count toward Service, and when your Service
terminates for all purposes under the Plan.

     3.   Term of Option. Your option expires on the day before the 10th
anniversary of the Grant Date, and will expire earlier if your Service
terminates as follows:

     (A)  Regular Termination. If your Service terminates for any reason except
death or Disability, then your option will expire at the close of business at
Company headquarters on the 90th day after your termination date.

     (B)  Death. If you die while in Service, then your option will expire at
the close of business at Company headquarters on the date six (6) months after
the date of death. During that six (6) month period, your estate or heirs may
exercise the vested portion of your option.

     (C)  Disability. If your Service terminates because of your Disability,
then your option will expire at the close of business at Company headquarters on
the date six (6) months after your termination date. Disability shall have the
meaning set forth in section 22(e)(3) of the Code.

     4.   Exercise of Option.

     (A)  Legal Restrictions. The Company will not permit you to exercise your
option if the issuance of Common Stock at that time would violate any law or
regulation. You represent and agree that the Common Stock to be acquired upon
exercising your option will be acquired for investment, and not with a view to
the sale or distribution thereof. If the sale of Common Stock under the Plan is
not registered under the Securities Act but an exemption is available which
requires an investment representation or other representation, you shall
represent and agree at the time of exercise to make such representations as are
deemed necessary or appropriate by the Company and its counsel.

     (B)  Method of Exercise. To exercise your option, you must complete and
file the Company's "Notice of Exercise" form at the address given on the form,
together

                                      -2-
<PAGE>

with full payment. The Notice of Exercise will be effective when it is received
by the Company. If someone else wants to exercise your option after your death,
that person must prove to the Company's satisfaction that he or she is entitled
to do so.

     (c)  Form of Payment. When you submit a Notice of Exercise, you must
include payment of the aggregate Exercise Price for the Common Stock you are
purchasing. Payment may be made in one (or a combination) of the following
forms.

     .    Your personal check, a cashier's check or a money order.

     .    To the extent that a public market for Common Stock exists as
          determined by the Company, by delivery (on a form approved by the
          Company) of an irrevocable direction to a securities broker to sell
          Common Stock and to deliver all or part of the sale proceeds to the
          Company in payment of the aggregate Exercise Price.

     (d)  Withholding Taxes.  You will not be allowed to exercise your option
unless you make acceptable arrangements to pay any withholding or other taxes
that may be due as a result of the option exercise or the sale of Common Stock
acquired upon exercise of your option.

     5.   Exercise of Option Before Vesting ("Early Exercise").  You may
exercise your option before it is fully vested.  Common Stock received upon the
exercise of the unvested portion of your option shall be subject to the
Company's right of repurchase, which right of repurchase shall lapse at the rate
of the option would have vested had there been no exercise.  The Company's right
of repurchase shall terminate ninety (90) days after the later of (i) your
Service termination or (ii) your date of exercise.

     The certificates for the Common Stock subject to the Company's right of
repurchase shall be deposited in escrow with the Secretary of the Company to be
held in accordance with the provisions of this paragraph. Each deposited
certificate shall be accompanied by a duly executed Assignment Separate from
Certificate in the form attached. The deposited certificates, shall remain in
escrow until such time or times as the certificates are to be released or
otherwise surrendered for cancellation as discussed below. Upon delivery of the
certificates to the Company, you shall be issued an instrument of deposit
acknowledging the number of shares of Common Stock delivered in escrow to the
Secretary of the Company.

     All regular cash dividends on the Common Stock (or other securities at the
time held in escrow) shall be paid directly to you and shall not be held in
escrow. However, in the event of any stock dividend, stock split,
recapitalization or other change affecting the Company's outstanding Common
Stock as a class effected without receipt of consideration or in the event of a
stock split, a stock dividend or a similar change in the Company Stock, any new,
substituted or additional securities or other property which is by reason of
such transaction distributed with respect to the Common Stock shall be
immediately delivered to the Secretary of the Company to be held in escrow
hereunder, but only to the extent the Common Stock is at the time subject to the
escrow requirements hereof.

                                      -3-
<PAGE>

     The Common Stock held in escrow hereunder shall be subject to the following
terms and conditions relating to their release from escrow or their surrender to
the Company for repurchase and cancellation:

     .    As your interest in the Common Stock vests, the certificates for such
          vested Common Stock shall be released from escrow and delivered to
          you, at your request, in accordance with the following schedule:

          ---   The initial release of any vested Common Stock (or other vested
                assets and securities) from escrow shall be effected within
                thirty (30) days following the expiration of the initial twelve
                (12) month period measured from the Vesting Start Date.

          ---   Subsequent releases of any vested Common Stock from escrow shall
                be effected at annual intervals thereafter, with the first such
                annual release to occur twenty-four (24) months after the
                Vesting Start Date.

          ---   Upon termination of your Service, any escrowed Common Stock in
                which you are at the time vested shall be promptly released from
                escrow.

     6.   Resale Restrictions/Market Stand-Off. In connection with any
underwritten public offering by the Company of its equity securities pursuant to
an effective registration statement filed under the Securities Act, including
the Company's initial public offering, you shall not sell, make any short sale
of, loan, hypothecate, pledge, grant any option for the purchase of, or
otherwise dispose or transfer for value or agree to engage in any of the
foregoing transactions with respect to any Common Stock without the prior
written consent of the Company or its underwriters, for such period of time
after the effective date of such registration statement as may be requested by
the Company or such underwriters (not to exceed one hundred eighty (180) days).
To enforce the provisions of this paragraph, the Company may impose stop-
transfer instructions with respect to the Common Stock until the end of the
applicable stand-off period. You may not to sell any Common Stock at a time when
applicable laws, regulations or Company or underwriter trading policies prohibit
a sale.

     7.   Right of First Refusal. If you propose to sell, pledge or otherwise
transfer to a third party any Common Stock acquired under this Stock Option
Agreement, or any interest in such Common Stock, the Company shall have the
"Right of First Refusal" with respect to all (and not less than all) of such
Common Stock. If you desire to transfer Common Stock acquired under this Stock
Option Agreement, you must give a written "Transfer Notice" to the Company
describing fully the proposed transfer, including the number of shares proposed
to be transferred, the proposed transfer price and the name and address of the
proposed transferee. The Transfer Notice shall be signed both by you and by the
proposed new transferee and must constitute a binding commitment of both parties
to the transfer of the Common Stock. The Company shall have the right to
purchase all, and not less than all, of the Common Stock on the terms of the
proposal described in the Transfer Notice (subject, however, to any change in
such terms permitted in the next paragraph) by delivery of a notice of exercise
of the Right of First Refusal within thirty (30) days after the date when the
Transfer Notice was received by the Company.

                                      -4-
<PAGE>

     If the Company fails to exercise its Right of First Refusal before or
within thirty (30) days after the date when it received the Transfer Notice, you
may, not later than ninety (90) days following receipt of the Transfer Notice by
the Company, conclude a transfer of the Common Stock subject to the Transfer
Notice on the terms and conditions described in the Transfer Notice. Any
proposed transfer on terms and conditions different from those described in the
Transfer Notice, as well as any subsequent proposed transfer by you, shall again
be subject to the Right of First Refusal and shall require compliance with the
procedure described in the paragraph above. If the Company exercises its Right
of First Refusal, the parties shall consummate the sale of the Common Stock on
the terms set forth in the Transfer Notice within sixty (60) days after the date
when the Company received the Transfer Notice (or within such longer period as
may have been specified in the Transfer Notice); provided, however, that if the
Transfer Notice provided that payment for the Common Stock was to be made in a
form other than lawful money paid at the time of transfer, the Company shall
have the option of paying for the Common Stock with lawful money equal to the
present value of the consideration described in the Transfer Notice.

     The Company's Right of First Refusal shall inure to the benefit of its
successors and assigns, shall be freely assignable in whole or in part and shall
be binding upon any transferee of the Common Stock.

     The Company's Right of First Refusal shall terminate if the Company's
common stock is listed on an established stock exchange or is quoted regularly
on the Nasdaq Stock Market.

     8.   Transfer of Option.  Prior to your death, only you may exercise your
option.  You cannot transfer or assign your option.  For instance, you may not
sell your option or use it as security for a loan.  If you attempt to do any of
these things, your option will immediately become invalid.  You may, however,
dispose of your option in your will.  Regardless of any marital property
settlement agreement, the Company is not obligated to honor a notice of exercise
from your spouse or former spouse, nor is the Company obligated to recognize
such individual's interest in your option in any other way.

     9.   No Retention Rights.  Your option does not give you the right to be
retained by the Company (or any subsidiaries) in any capacity.  The Company
reserves the right to terminate your Service at any time and for any reason.

     10.  Shareholder Rights.  You, or your estate or heirs, have no rights as a
shareholder of the Company until a certificate for your Common Stock has been
issued.  No adjustments are made for dividends or other rights if the applicable
record date occurs before your stock certificate is issued, except as described
in the Plan.

     11.  Adjustments to Common Stock.  In the event of a stock split, a stock
dividend or a similar change in the Company's Common Stock, the number of shares
covered by your option and the exercise price per share may be adjusted pursuant
to the Plan.  Your option shall be subject to the terms of the agreement of
merger, liquidation or reorganization in the event the Company is subject to
such corporate activity.

     12.  Legends.  All certificates representing the Common Stock issued upon
exercise of your option shall, where applicable, have endorsed thereon the
following legends:

                                      -5-
<PAGE>

     "THE SECURITIES REPRESENTED BY THIS CERTIFICATE MAY NOT BE SOLD,
     TRANSFERRED, ENCUMBERED OR IN ANY MANNER DISPOSED OF, EXCEPT IN
     COMPLIANCE WITH THE TERMS OF A WRITTEN AGREEMENT BETWEEN THE COMPANY
     AND THE INITIAL HOLDER HEREOF. SUCH AGREEMENT PROVIDES FOR CERTAIN
     TRANSFER RESTRICTIONS, INCLUDING RIGHTS OF FIRST REFUSAL UPON AN
     ATTEMPTED TRANSFER OF THE SECURITIES AND RIGHTS OF REPURCHASE. THE
     SECRETARY OF THE COMPANY WILL UPON WRITTEN REQUEST FURNISH A COPY OF
     SUCH AGREEMENT TO THE HOLDER HEREOF WITHOUT CHARGE."

     "THE SECURITIES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED
     OR QUALIFIED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR THE
     SECURITIES LAWS OF ANY STATE, AND MAY BE OFFERED AND SOLD ONLY IF
     REGISTERED AND QUALIFIED PURSUANT TO THE RELEVANT PROVISIONS OF FEDERAL
     AND STATE SECURITIES LAWS OR IF THE COMPANY IS PROVIDED AN OPINION OF
     COUNSEL SATISFACTORY TO THE COMPANY THAT REGISTRATION AND QUALIFICATION
     UNDER FEDERAL AND STATE SECURITIES LAWS ARE NOT REQUIRED."

     13.  Applicable Law.  This Agreement will be interpreted and enforced under
the laws of the State of California.

     14.  Incorporation of Plan by Reference. The text of the Plan is
incorporated in this Agreement by reference. Certain capitalized terms used in
this Agreement are defined in the Plan.

     This Agreement and the Plan constitute the entire understanding between you
and the Company regarding your option. Any prior agreements, commitments or
negotiations concerning your option are superseded.

                                      -6-
<PAGE>

                              NOTICE OF EXERCISE

Moscape, Inc.
2 North First Street, Fourth Floor
San Jose, CA 95113

     Re:  Exercise of Stock Option

Dear Sir or Madam:

     Pursuant to the Stock Option Agreement dated __________, 199___ (the "Stock
Option Agreement") and the Company's 1997 Incentive Stock Plan (the "Plan"), I
hereby elect to purchase _____________ shares of the common stock of the Company
at aggregate exercise price of $__________.  I enclose payment in the form of my
check in the amount of $___________.

     If I am exercising an unvested option, I also enclose an executed
Assignment Separate From Certificate.

     The Common Stock is to be issued and registered in the name(s) of:

                           __________________________

                           __________________________

     I understand that there may be tax consequences as a result of the purchase
or disposition of the Common Stock, and I have consulted with any tax
consultants I wished to consult and I am not relying on the Company for any tax
advice.  I understand that my exercise is governed by my Stock Option Agreement
and the Plan and agree to abide by and be bound by their terms and conditions.
I represent that the Common Stock is being acquired solely for my own account
and not as a nominee for any other party, or for investment, and that I will not
offer, sell or otherwise dispose of any such Common Stock except under
circumstances that will not result in a violation of the Securities Act of 1933,
as amended, or any state securities laws.

     Dated:  __________, 199__


                                        _______________________________________
                                                      (Signature)

                                        ________________________________________
                                                  (Please Print Name)


                                        _______________________________________


                                        _______________________________________
                                                       (Address)
<PAGE>

                     ASSIGNMENT SEPARATE FROM CERTIFICATE


     FOR VALUE RECEIVED and pursuant to the undersigned's ("Purchaser") Stock
Option Agreement, Purchaser hereby sells, assigns and transfers unto Moscape,
Inc., a Delaware corporation (the "Company"), _________________ (________)
unvested shares of Common Stock of the Company, standing in Purchaser's name on
the books of the Company and represented by Certificate No. _____, herewith and
does hereby irrevocably constitute and appoint _________________________ to
transfer the said stock on the books of the Company with full power of
substitution in the premises.  THIS ASSIGNMENT MAY ONLY BE USED AS AUTHORIZED BY
THE 1997 INCENTIVE STOCK PLAN, THE STOCK OPTION AGREEMENT AND THE EXHIBITS
THERETO.

     Dated:  ____________, 19__.



                                   _____________________________________________
                                                      Print Name


                                   ____________________________________________
                                                      Signature



                        SPOUSAL CONSENT (IF APPLICABLE)

     ________________ (Purchaser's spouse) indicates by the execution of this
Assignment his or her consent to be bound by the terms herein as to his or her
interests, whether as community property or otherwise, if any, in the Shares.





                                         _____________________________________
                                                      Signature



INSTRUCTIONS: PLEASE DO NOT FILL IN ANY BLANKS OTHER THAN THE SIGNATURE LINE.
THE PURPOSE OF THIS ASSIGNMENT IS TO ENABLE THE COMPANY TO EXERCISE ITS
"REPURCHASE OPTION" SET FORTH IN THE STOCK OPTION AGREEMENT WITHOUT REQUIRING
ADDITIONAL SIGNATURES ON THE PART OF PURCHASER.
<PAGE>

                         ELECTION UNDER SECTION 83(b)
                         OF THE INTERNAL REVENUE CODE

     The undersigned hereby makes an election pursuant to Section 83(b) of the
Internal Revenue Code with respect to the property described below and supplies
the following information in accordance with the regulations promulgated
thereunder:

     (i)      The name, address and social security number of the undersigned:

              _______________________________________________________________

              _______________________________________________________________

              _______________________________________________________________

              Social Security No.____________________________________________

     (ii)     Description of property with respect to which the election is

              being made: ___________ shares of common stock of Moscape, Inc.
              (the "Company").

     (iii)    The date on which the property was transferred is ______________.

     (iv)     The taxable year to which this election relates is calendar year

              ____.

     (v)      Nature of restrictions to which the property is subject:

              The shares of stock transferred to the undersigned taxpayer are
              subject to the provisions of a right of repurchase in favor of the
              Company, in the event of the undersigned's termination of
              employment with the Company.

     (vi)     The fair market value of the property at the time of transfer
              (determined without regard to any lapse restriction) was $___ per
              share.

     (vii)    The amount paid by taxpayer for the property was $__________.

     (viii)   A copy of this statement has been furnished to the Company.

     Dated:   __________, 19__.



                                            ___________________________________
                                                         Taxpayer



                                         ______________________________________
                                                   Spouse of Taxpayer