The purpose of this study was to develop a CAI system with which students can easily learn listening skills in English, and to test the reliability, validity, and the usability of the system as a teaching machine. The system consists of SONY's "The Repeater" and NEC's personal computer, "PC-9801". The tests confirmed that the system can be used easily, and give reliable and valid scores in evaluating the listening skills of college students if a cloze type or a dictation type answering method is used. Since it can evaluate students' communicative competence properly, and since it can feed the information back almost instantly to the students, it can facilitate the students' learning. The system was found also to motivate the desire of beginning students to study listening skills if a multiple choice type answering system was used.