UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                              Washington D.C. 20549

                                  SCHEDULE 13G

                    Under the Securities Exchange Act of 1934


                       GENTNER COMMUNICATIONS CORPORATION
                                (Name of Issuer)

                     COMMON STOCK, PAR VALUE $.001 PER SHARE
                         (Title of Class of Securities)


                                   00037245J1
                                 (CUSIP Number)

                                  July 16, 1998
             (Date of Event Which Requires Filing of this Statement)

         Check the  appropriate box to designate the rule pursuant to which this
Schedule is filed:

         [ ] Rule 13d-1(b)

         [X] Rule 13d-1(c)

         [ ] Rule 13d-1(d)


*The  remainder of this cover page shall be filled out for a reporting  person's
initial filing on this form with respect to the subject class of securities, and
for any  subsequent  amendment  containing  information  which  would  alter the
disclosures provided in a prior cover page.

The information required in the remainder of this cover page shall not be deemed
to be "filed" for the purpose of Section 18 of the  Securities  Exchange  Act of
1934 ("Act") or otherwise  subject to the liabilities of that section of the Act
but  shall be  subject  to all other  provisions  of the Act  (however,  see the
Notes).

<PAGE>
- ------------------------------------        ------------------------------------
CUSIP No. 732813-10-0                           Page   2   of    5  Pages
         ------------                               ------    ------     
- ------------------------------------        ------------------------------------

- --------------------------------------------------------------------------------
  1   NAME OF REPORTING PERSON

                        Stephen Watson

      S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON

- --------------------------------------------------------------------------------
  2   CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP*                  (a) |_|
                                                                         (b) |_|
- --------------------------------------------------------------------------------
  3   SEC USE ONLY

- --------------------------------------------------------------------------------
  4   CITIZENSHIP OR PLACE OF ORGANIZATION

                        U.S.
- --------------------------------------------------------------------------------
                      5   SOLE VOTING POWER

     NUMBER OF                              389,000 shares
       SHARES       ------------------------------------------------------------
    BENEFICIALLY      6   SHARED VOTING POWER
      OWNED BY   
       EACH                              -0-
     REPORTING      ------------------------------------------------------------
      PERSON          7   SOLE DISPOSITIVE POWER
       WITH
                                   389,000 shares
                    ------------------------------------------------------------
                      8   SHARED DISPOSITIVE POWER

                                         -0-
- --------------------------------------------------------------------------------
  9       AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON

                            389,000 shares
- --------------------------------------------------------------------------------
 10       CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN
          SHARES*                                                            |_|

- --------------------------------------------------------------------------------
 11       PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9)

                            5.1%
- --------------------------------------------------------------------------------
 12       TYPE OF REPORTING PERSON*
                            IN
- --------------------------------------------------------------------------------

<PAGE>
Item 1(a).   Name of Issuer:

                  Gentner Communications Corporation

Item 1(b).   Address of Issuer's Principal Executive Offices:

                  1825 Research Way
                  Salt Lake City, UT 84119

Item 2(a).   Name of Person Filing:

                  Stephen Watson

Item 2(b).   Address of Principal Business Office or, if None, Residence:

                  237 Park Avenue, Suite 801
                  New York, NY 10017

Item 2(c).   Citizenship:

                  United States

Item 2(d).   Title of Class of Securities:

                  Common Stock, $.001 par value

Item 2(e).   CUSIP Number:

                  00037245J1

Item 3. If this statement is  filed  pursuant to  Rules 13d-1(b), or 13d-2(b) or
        (c), check whether the person filing is a:

     (a) [ ]  Broker or Dealer registered under section 15 of the Act,

     (b) [ ] Bank as defined in section 3(a)(6) of the Act,

     (c) [ ] Insurance Company as defined in section 3(a)(19) of the Act,

     (d) [ ] Investment Company registered under Section 8 of the Investment
             Company Act of 1940,

     (e) [ ] An investment adviser in accordance with ss.240.13d-1(b)(1)(ii)(E),
                                       3

<PAGE>
     (f) [ ] An employee  benefit plan or  endowment fund  in   accordance  with
             ss.240.13d-1(b)(1)(ii)(F),

     (g) [ ] A  parent  holding  company or  control person  in accordance  with
             ss.240.13d-1(b)(1)(ii)(G),

     (h) [ ] A savings  association as  defined in Section  3(b) of the  Federal
             Deposit Insurance Act,

     (i) [ ] A  church  plan  that  is  excluded  from   the  definition  of  an
             investment company under section 3(c)(14) of the Investment Company
             Act of 1940,

     (j) [ ] A group, in accordance with ss.13d-1(b)(1)(ii)(J).

     If this statement is filed pursuant to ss.240.13d-1(c), check this box [X].

Item 4.  Ownership.

      (a)  Amount beneficially owned:

               389,000  shares  (includes  shares  held by a private  investment
               partnership,  an offshore  investment company and several managed
               accounts,  as to all of which  Mr.  Watson  has  sole  investment
               authority).

      (b) Percent of class:

               5.1%

      (c) Number of shares as to which such person has:
               (i)     Sole power to vote or to direct the vote:  389,000 shares
               (ii)    Shared power to vote or to direct the vote:  -0-
               (iii)   Sole power to dispose or to direct the disposition of:
                          389,000 shares
               (iv)    Shared power to dispose or to direct the disposition of:
                          -0-

Item 5.  Ownership of Five Percent or Less of a Class.

         If this statement is being filed to report the fact that as of the date
hereof the reporting  person has ceased to be the beneficial  owner of more than
five percent of the class of securities, check the following [ ].

Item 6.  Ownership of More Than Five Percent on Behalf of Another Person.

                  An investment partnership,  an offshore investment company and
several managed  accounts each have the right to receive  dividends from and the
proceeds  of the  sale of the  subject  securities.  None of such  parties  owns
beneficially more than 5% of the class.
                                       4

<PAGE>
Item 7.  Identification and Classification of the Subsidiary which Acquired  the
         Security Being Reported on By the Parent Holding Company.

                  Not applicable.

Item 8.  Identification and Classification of Members of the Group.

                  Not applicable.

Item 9.  Notice of Dissolution of Group.

                  Not applicable.

Item 10.  Certification.

                  By signing  below I certify  that, to the best of my knowledge
and belief, the securities  referred to above were not acquired and are not held
for the purpose of or with the effect of changing or influencing  the control of
the  issuer  of the  securities  and  were  not  acquired  and are  not  held in
connection with or as a participant in any  transaction  having that purposes or
effect.

                                   SIGNATURE.

After  reasonable  inquiry and to the best of my knowledge and belief, I certify
that the information set forth in this statement is true, complete and correct.


                                                July 30, 1998
                                           -----------------------
                                                   (Date)

                                             /s/ Stephen Watson
                                           -----------------------
                                                 (Signature)

                                                 Stephen Watson
                                           -----------------------
                                                  (Name/Title)