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                                                                    Exhibit 10.3

                         SEACHANGE INTERNATIONAL, INC.

                          SECOND AMENDED AND RESTATED
                       1996 EMPLOYEE STOCK PURCHASE PLAN

Article 1--Purpose.

     This Second Amended and Restated 1996 Employee Stock Purchase Plan (the
"Plan") is intended to encourage stock ownership by all eligible employees of
SeaChange International, Inc. (the "Company"), a Delaware corporation, and its
participating subsidiaries (as defined in Article 17) so that they may share in
the growth of the Company by acquiring or increasing their proprietary interest
in the Company. The Plan is designed to encourage eligible employees to remain
in the employ of the Company and its participating subsidiaries. The Plan is
intended to constitute an "employee stock purchase plan" within the meaning of
Section 423(b) of the Internal Revenue Code of 1986, as amended (the "Code").

Article 2--Administration of the Plan.

     The Plan may be administered by a committee appointed by the Board of
Directors of the Company (the "Committee"). The Committee shall consist of not
less than two members of the Company's Board of Directors. The Board of
Directors may from time to time remove members from, or add members to, the
Committee. Vacancies on the Committee, howsoever caused, shall be filled by the
Board of Directors. The Committee may select one of its members as Chairman,
and shall hold meetings at such times and places as it may determine. Acts by a
majority of the Committee, or acts reduced to or approved in writing by a
majority of the members of the Committee, shall be the valid acts of the
Committee.

     The interpretation and construction by the Committee of any provisions of
the Plan or of any option granted under it shall be final, unless otherwise
determined by the Board of Directors. The Committee may from time to time adopt
such rules and regulations for carrying out the Plan as it may deem best,
provided that any such rules and regulations shall be applied on a uniform
basis to all employees under the Plan. No member of the Board of Directors or
the Committee shall be liable for any action or determination made in good
faith with respect to the Plan or any option granted under it.

     In the event the Board of Directors fails to appoint or refrains from
appointing a Committee, the Board of Directors shall have all power and
authority to administer the Plan. In such event, the word "Committee" wherever
used herein shall be deemed to mean the Board of Directors.

Article 3--Eligible Employees.

     All employees of the Company or any of its participating subsidiaries
whose customary employment is more than 20 hours per week and for more than
five months in any calendar year shall be eligible to receive options under the
Plan to purchase Common Stock (as defined herein), and all eligible employees
shall have the same rights and privileges hereunder. Persons who are eligible
employees on the first business day of any Payment Period (as defined in
Article 5) shall receive their options as of such day. Persons who become
eligible employees after any date on which options are granted under the Plan
shall be granted options on the first day of the next succeeding Payment Period
on which options are granted to eligible employees under the Plan. In no event,
however, may an employee be granted an option if such employee, immediately
after the option was granted, would be treated as owning stock possessing five
percent or more of the total combined voting power or value of all classes of
stock of the Company or of any parent corporation or subsidiary corporation, as
the terms "parent corporation" and "subsidiary corporation" are defined in
Section 424(e) and (f) of the Code. For purposes of determining stock ownership
under this paragraph, the rules of Section 424(d) of the Code shall apply, and
stock which the employee may purchase under outstanding options shall be
treated as stock owned by the employee.
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Article 4--Stock Subject to the Plan.

     The stock subject to the options under the Plan shall be shares of the
Company's authorized but unissued Common Stock, par value $.01 per share (the
"Common Stock"), or shares of Common Stock reacquired by the Company, including
shares purchased in the open market. The aggregate number of shares which may
be issued pursuant to the Plan is 450,000, subject to adjustment as provided in
Article 12. If any option granted under the Plan shall expire or terminate for
any reason without having been exercised in full or shall cease for any reason
to be exercisable in whole or in part, the unpurchased shares subject thereto
shall again be available under the Plan.

Article 5--Payment Period and Stock Options.

     Prior to May 1, 2000, Payment Periods shall consist of the six-month
periods commencing on May 1 and November 1 and ending on October 31 and April
30. The Payment Period commencing May 1, 2000 shall extend for the seven-month
period from May 1, 2000 to November 30, 2000. Thereafter and for the remainder
of the duration of the Plan, Payment Periods shall consist of the six-month
periods commencing on June 1 and December 1 and ending on November 30 and May
31.

     Twice each year, on the first business day of each Payment Period, the
Company will grant to each eligible employee who is then a participant in the
Plan an option to purchase on the last business day of such Payment Period, at
the Option Price hereinafter provided for, a maximum of 1,125 shares, on
condition that such employee remains eligible to participate in the Plan
throughout the remainder of such Payment Period. The participant shall be
entitled to exercise the option so granted only to the extent of the
participant's accumulated payroll deductions on the last business day of such
Payment Period. If the participant's accumulated payroll deductions on the last
business day of the Payment Period would enable the participant to purchase
more than 1,125 shares except for the 1,125-share limitation, the excess of the
amount of the accumulated payroll deductions over the aggregate purchase price
of the 1,125 shares shall be promptly refunded to the participant by the
Company, without interest. The Option Price per share for each Payment Period
shall be the lesser of (i) 85% of the average market price of the Common Stock
on the first business day of the Payment Period and (ii) 85% of the average
market price of the Common Stock on the last business day of the Payment
Period, in either event rounded up to avoid fractions of a dollar other than
1/4, 1/2 and 3/4. The foregoing limitation on the number of shares subject to
options and the Option Price shall be subject to adjustment as provided in
Article 12.

     For purposes of the Plan, the term "average market price" on any date
means (i) the average (on that date) of the high and low prices of the Common
Stock on the principal national securities exchange on which the Common Stock
is traded, if the Common Stock is then traded on a national securities
exchange; or (ii) the last reported sale price (on that date) of the Common
Stock on the Nasdaq National Market, if the Common Stock is not then traded on
a national securities exchange; or (iii) the average of the closing bid and
asked prices last quoted (on that date) by an established quotation service for
over-the-counter securities, if the Common Stock is not then traded on a
national securities exchange or reported on the Nasdaq National Market; or (iv)
if the Common Stock is not publicly traded, the fair market value of the Common
Stock as determined by the Committee after taking into consideration all
factors which it deems appropriate, including, without limitation, recent sale
and offer prices of the Common Stock in private transactions negotiated at
arm's length.

     For purposes of the Plan, the term "business day" means a day on which
there is trading on the Nasdaq National Market or the aforementioned national
securities exchange, whichever is applicable pursuant to the preceding
paragraph; and if neither is applicable, a day that is not a Saturday, Sunday
or legal holiday in the Commonwealth of Massachusetts.

     No employee shall be granted an option which permits the employee's right
to purchase stock under the Plan, and under all other Section 423(b) employee
stock purchase plans of the Company and any parent or subsidiary corporations,
to accrue at a rate which exceeds $25,000 of fair market value of such stock
(determined on the date or dates that options on such stock were granted) for
each calendar year in which such
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option is outstanding at any time. The purpose of the limitation in the
preceding sentence is to comply with Section 423(b)(8) of the Code. If the
participant's accumulated payroll deductions on the last business day of the
Payment Period would otherwise enable the participant to purchase Common Stock
in excess of the Section 423(b)(8) limitation described in this paragraph, the
excess of the amount of the accumulated payroll deductions over the aggregate
purchase price of the shares actually purchased shall be promptly refunded to
the participant by the Company, without interest.

Article 6--Exercise of Option.

     Each eligible employee who continues to be a participant in the Plan on
the last business day of a Payment Period shall be deemed to have exercised his
or her option on such date and shall be deemed to have purchased from the
Company such number of full shares of Common Stock reserved for the purpose of
the Plan as the participant's accumulated payroll deductions on such date will
pay for at the Option Price, subject to the 1,125-share limit of the option and
the Section 423(b)(8) limitation described in Article 5. If the individual is
not a participant on the last business day of a Payment Period, he or she shall
not be entitled to exercise his or her option. Only full shares of Common Stock
may be purchased under the Plan. Unused payroll deductions remaining in a
participant's account at the end of a Payment Period by reason of the inability
to purchase a fractional share shall be carried forward to the next Payment
Period.

Article 7--Authorization for Entering the Plan.

     An employee may elect to enter the Plan by filling out, signing and
delivering to the Company an authorization:

       A. Stating the percentage to be deducted regularly from the employee's
  pay;

       B. Authorizing the purchase of stock for the employee in each Payment
  Period in accordance with the terms of the Plan; and

       C. Specifying the exact name or names in which stock purchased for the
  employee is to be issued as provided under Article 11 hereof.

Such authorization must be received by the Company at least ten days before the
first day of the next succeeding Payment Period and shall take effect only if
the employee is an eligible employee on the first business day of such Payment
Period.

     Unless a participant files a new authorization or withdraws from the Plan,
the deductions and purchases under the authorization the participant has on
file under the Plan will continue from one Payment Period to succeeding Payment
Periods as long as the Plan remains in effect.

     The Company will accumulate and hold for each participant's account the
amounts deducted from his or her pay. No interest will be paid on these
amounts.

Article 8--Maximum Amount of Payroll Deductions.

     An employee may authorize payroll deductions in an amount (expressed as a
whole percentage) not less than one percent (1%) but not more than ten percent
(10%) of the employee's total compensation, including base pay or salary and
any overtime, bonuses or commissions.

Article 9--Change in Payroll Deductions.

     Deductions may not be increased or decreased during a Payment Period.
However, a participant may withdraw in full from the Plan.
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Article 10--Withdrawal from the Plan.

     An employee may withdraw from the Plan (in whole but not in part) at any
time prior to the last business day of a Payment Period by delivering a
withdrawal notice to the Company, in which event the Company shall promptly
refund the entire balance of the employee's deductions not previously used to
purchase stock under the Plan.

     To re-enter the Plan, an employee who has previously withdrawn must file a
new authorization at least ten days before the first day of the next Payment
Period in which he or she wishes to participate. The employee's re-entry into
the Plan becomes effective at the beginning of such Payment Period, provided
that he or she is an eligible employee on the first business day of the Payment
Period.

Article 11--Issuance of Stock.

     Certificates for stock issued to participants shall be delivered as soon
as practicable after each Payment Period by the Company's transfer agent.

     Stock purchased under the Plan shall be issued only in the name of the
participant, or if the participant's authorization so specifies, in the name of
the participant and another person of legal age as joint tenants with rights of
survivorship.

Article 12--Adjustments.

     Upon the happening of any of the following described events, a
participant's rights under options granted under the Plan shall be adjusted as
hereinafter provided:

       A. In the event that the shares of Common Stock shall be subdivided or
  combined into a greater or smaller number of shares or if, upon a
  reorganization, split-up, liquidation, recapitalization or the like of the
  Company, the shares of Common Stock shall be exchanged for other securities
  of the Company, each participant shall be entitled, subject to the
  conditions herein stated, to purchase such number of shares of Common Stock
  or amount of other securities of the Company as were exchangeable for the
  number of shares of Common Stock that such participant would have been
  entitled to purchase except for such action, and appropriate adjustments
  shall be made in the purchase price per share to reflect such subdivision,
  combination or exchange; and

       B. In the event the Company shall issue any of its shares as a stock
  dividend upon or with respect to the shares of stock of the class which
  shall at the time be subject to option hereunder, each participant upon
  exercising such an option shall be entitled to receive (for the purchase
  price paid upon such exercise) the shares as to which the participant is
  exercising his or her option and, in addition thereto (at no additional
  cost), such number of shares of the class or classes in which such stock
  dividend or dividends were declared or paid, and such amount of cash in
  lieu of fractional shares, as is equal to the number of shares thereof and
  the amount of cash in lieu of fractional shares, respectively, which the
  participant would have received if the participant had been the holder of
  the shares as to which the participant is exercising his or her option at
  all times between the date of the granting of such option and the date of
  its exercise.

     Upon the happening of any of the foregoing events, the class and aggregate
number of shares set forth in Article 4 hereof which are subject to options
which have been or may be granted under the Plan and the limitations set forth
in the second paragraph of Article 5 shall also be appropriately adjusted to
reflect the events specified in paragraphs A and B above. Notwithstanding the
foregoing, any adjustments made pursuant to paragraphs A or B shall be made
only after the Committee, based on advice of counsel for the Company,
determines whether such adjustments would constitute a "modification" (as that
term is defined in Section 424 of the Code). If the Committee determines that
such adjustments would constitute a modification, it may refrain from making
such adjustments.
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     If the Company is to be consolidated with or acquired by another entity
(x) in a merger, consolidation or other reorganization in which the holders of
the outstanding voting stock of the Company immediately preceding the
consummation of such event shall, immediately following such event, hold, as a
group, less than a majority of the voting securities of the surviving or
resulting entity, (y) a sale of all or substantially all of the Company's
assets or (z) otherwise (an "Acquisition"), the Committee or the board of
directors of any entity assuming the obligations of the Company hereunder (the
"Successor Board") shall, with respect to options then outstanding under the
Plan, either (i) make appropriate provision for the continuation of such
options by arranging for the substitution on an equitable basis for the shares
then subject to such options either (a) the consideration payable with respect
to the outstanding shares of the Common Stock in connection with the
Acquisition, (b) shares of stock of the surviving or successor corporation, or
a parent or subsidiary of such corporation, or (c) such other securities as the
Successor Board deems appropriate, the fair market value of which shall not
materially exceed the fair market value of the shares of Common Stock subject
to such options immediately preceding the Acquisition; or (ii) terminate each
participant's options in exchange for a cash payment equal to the excess of (a)
the fair market value on the date of the Acquisition, of the number of shares
of Common Stock that the participant's accumulated payroll deductions as of the
date of the Acquisition could purchase, at an option price determined with
reference only to the first business day of the applicable Payment Period and
subject to the 1125-share, Code Section 423(b)(8) and fractional-share
limitations on the amount of stock a participant would be entitled to purchase,
over (b) the result of multiplying such number of shares by such option price.

     The Committee or Successor Board shall determine the adjustments to be
made under this Article 12, and its determination shall be conclusive.

Article 13--No Transfer or Assignment of Employee's Rights.

     An option granted under the Plan may not be transferred or assigned and
may be exercised only by the participant.

Article 14--Termination of Employee's Rights.

     Whenever a participant ceases to be an eligible employee because of
retirement, voluntary or involuntary termination, resignation, layoff,
discharge, death or for any other reason, his or her rights under the Plan
shall immediately terminate, and the Company shall promptly refund, without
interest, the entire balance of his or her payroll deduction account under the
Plan. Notwithstanding the foregoing, eligible employment shall be treated as
continuing intact while a participant is on military leave, sick leave or other
bona fide leave of absence, for up to 90 days, or for so long as the
participant's right to re-employment is guaranteed either by statute or by
contract, if longer than 90 days.

Article 15--Termination and Amendments to Plan.

     Unless terminated sooner as provided below, the Plan shall terminate on
December 31, 2006. The Plan may be terminated at any time by the Company's
Board of Directors but such termination shall not affect options then
outstanding under the Plan. It will terminate in any case when all or
substantially all of the unissued shares of stock reserved for the purposes of
the Plan have been purchased. If at any time shares of stock reserved for the
purpose of the Plan remain available for purchase but not in sufficient number
to satisfy all then unfilled purchase requirements, the available shares shall
be apportioned among participants in proportion to the amount of payroll
deductions accumulated on behalf of each participant that would otherwise be
used to purchase stock, and the Plan shall terminate. Upon such termination or
any other termination of the Plan, all payroll deductions not used to purchase
stock will be refunded, without interest.

     The Committee or the Board of Directors may from time to time adopt
amendments to the Plan provided that, without the approval of the stockholders
of the Company, no amendment may (i) increase the number of shares that may be
issued under the Plan, or (ii) change the class of employees eligible to
receive options under the Plan, if such action would be treated as the adoption
of a new plan for purposes of Section 423(b) of the Code.
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Article 16--Limits on Sale of Stock Purchased under the Plan.

     The Plan is intended to provide shares of Common Stock for investment and
not for resale. The Company does not, however, intend to restrict or influence
any employee in the conduct of his or her own affairs. An employee may,
therefore, sell stock purchased under the Plan at any time the employee
chooses, subject to compliance with any applicable federal or state securities
laws and subject to any restrictions imposed under Article 21 to ensure that
tax withholding obligations are satisfied. THE EMPLOYEE ASSUMES THE RISK OF ANY
MARKET FLUCTUATIONS IN THE PRICE OF THE COMMON STOCK.

Article 17--Participating Subsidiaries.

     The term "participating subsidiary" shall mean any present or future
subsidiary of the Company, as that term is defined in Section 424(f) of the
Code, which is designated from time to time by the Board of Directors to
participate in the Plan. The Board of Directors shall have the power to make
such designation before or after the Plan is approved by the stockholders.

Article 18--Optionees Not Stockholders.

     Neither the granting of an option to an employee nor the deductions from
his or her pay shall constitute such employee a stockholder of the shares
covered by an option until such shares have been actually purchased by the
employee.

Article 19--Application of Funds.

     The proceeds received by the Company from the sale of Common Stock
pursuant to options granted under the Plan will be used for general corporate
purposes.

Article 20--Notice to Company of Disqualifying Disposition.

     By electing to participate in the Plan, each participant agrees to notify
the Company in writing immediately after the participant transfers Common Stock
acquired under the Plan, if such transfer occurs within two years after the
first business day of the Payment Period in which such Common Stock was
acquired. Each participant further agrees to provide any information about such
a transfer as may be requested by the Company or any subsidiary corporation in
order to assist it in complying with the tax laws. Such dispositions generally
are treated as "disqualifying dispositions" under Sections 421 and 424 of the
Code, which have certain tax consequences to participants and to the Company
and its participating subsidiaries.

Article 21--Withholding of Additional Income Taxes.

     By electing to participate in the Plan, each participant acknowledges that
the Company and its participating subsidiaries are required to withhold taxes
with respect to the amounts deducted from the participant's compensation and
accumulated for the benefit of the participant under the Plan, and each
participant agrees that the Company and its participating subsidiaries may
deduct additional amounts from the participant's compensation, when amounts are
added to the participant's account, used to purchase Common Stock or refunded,
in order to satisfy such withholding obligations. Each participant further
acknowledges that when Common Stock is purchased under the Plan the Company and
its participating subsidiaries may be required to withhold taxes with respect
to all or a portion of the difference between the fair market value of the
Common Stock purchased and its purchase price, and each participant agrees that
such taxes may be withheld from compensation otherwise payable to such
participant. It is intended that tax withholding will be accomplished in such a
manner that the full amount of payroll deductions elected by the participant
under
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Article 7 will be used to purchase Common Stock. However, if amounts sufficient
to satisfy applicable tax withholding obligations have not been withheld from
compensation otherwise payable to any participant, then, notwithstanding any
other provision of the Plan, the Company may withhold such taxes from the
participant's accumulated payroll deductions and apply the net amount to the
purchase of Common Stock, unless the participant pays to the Company, prior to
the exercise date, an amount sufficient to satisfy such withholding
obligations. Each participant further acknowledges that the Company and its
participating subsidiaries may be required to withhold taxes in connection with
the disposition of stock acquired under the Plan and agrees that the Company or
any participating subsidiary may take whatever action it considers appropriate
to satisfy such withholding requirements, including deducting from compensation
otherwise payable to such participant an amount sufficient to satisfy such
withholding requirements or conditioning any disposition of Common Stock by the
participant upon the payment to the Company or such subsidiary of an amount
sufficient to satisfy such withholding requirements.

Article 22--Governmental Regulations.

     The Company's obligation to sell and deliver shares of Common Stock under
the Plan is subject to the approval of any governmental authority required in
connection with the authorization, issuance or sale of such shares.

     Government regulations may impose reporting or other obligations on the
Company with respect to the Plan. For example, the Company may be required to
identify shares of Common Stock issued under the Plan on its stock ownership
records and send tax information statements to employees and former employees
who transfer title to such shares.

Article 23--Governing Law.

     The validity and construction of the Plan shall be governed by the laws of
the State of Delaware, without giving effect to the principles of conflicts of
law thereof.

Article 24--Approval of Board of Directors and Stockholders of the Company.

     The 1996 Employee Stock Purchase Plan was adopted by the Board of
Directors on September 6, 1996 and was approved by the stockholders of the
Company on October 25, 1996. The 1996 Employee Stock Purchase Plan was amended
and restated on May 29, 1997 to constitute the Amended and Restated 1996
Employee Stock Purchase Plan. The Amended and Restated 1996 Employee Stock
Purchase Plan was amended and restated on April 14, 2000 to constitute the
Plan.