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VIRYANET JOINS MICROMUSE ALLIANCE PROGRAM
July 31, 2001

Leading Provider of Wireless Workforce Management Solutions to Integrate its Solution Set With the Netcool® Suite

San Francisco, CA and Southborough, MA - July 31, 2001 - ViryaNet (Nasdaq: VRYA), a leading provider of enterprise and mid-market wireless workforce management solutions for field service communities, and Micromuse Inc. (Nasdaq: MUSE), the leading provider of realtime fault management and service assurance software, today announced that ViryaNet has joined the Micromuse Alliance™ Program. In addition, ViryaNet is licensing the Netcool®/Software Developers Kit™ application (Netcool/SDK™) to develop an interface with the Netcool suite.

The integration will allow Micromuse's flagship Netcool/OMNIbus™ application to monitor the statistical values from network devices and send a signal to ViryaNet if it detects a problem or if a threshold has been exceeded. The ViryaNet solution will then automatically initiate a service work order - and subsequently manage compliance of service level agreements, scheduling and dispatching of field staff, and monitoring of field logistics and work activity.

"Micromuse is a recognized leader in the telecommunications industry," stated Win Burke, president and CEO, ViryaNet. "This business alliance and the integration of our solutions will allow telecom companies to improve their responsiveness, comply with service level agreements, and better manage their overall delivery of service."

Bi-directional communication of journal and note data between the ViryaNet solution and the Netcool/OMNIbus application will allow field and network operations center staff the ability to communicate on the status of the problem, ensuring quicker response and turnaround time on mission-critical network elements.

Finally, by extracting data from the Netcool®/OMNIbus™ application on network element statistics and coupling that data with associated work order data in the ViryaNet solution, customers will be able to more accurately report SLA information based on the culmination of statistical data.

"By welcoming ViryaNet into our Micromuse Alliance™ Program, we recognize them for their expertise in Netcool suite implementations and their work in developing cutting-edge OSS solutions," said Andy Aiello, Micromuse's senior vice president, business development. "Clearly, ViryaNet is a leader in designing and developing OSS solutions, and we are thrilled to work with them, not only from an R&D perspective, but on client engagements as well."

About ViryaNet

ViryaNet is a provider of wireless workforce management solutions for field service communities. These solutions enable field service organizations to efficiently schedule and dispatch field service personnel, capture and record logistics and labor activity, and monitor, report, and measure this activity - meeting an organization's installation, preventative maintenance, and break-fix obligations. ViryaNet's wireless workforce management solution supports wireless devices over standard wireless networks. ViryaNet's solutions integrate with popular front- and back-office applications. ViryaNet's professional services team and implementation partners enable implementation of the Company's solutions for wireless workforce management.

About the Micromuse Alliance™ Program

The Micromuse Alliance™ Program provides Micromuse and its alliance members with the resources to cooperatively pursue business, technical and marketing opportunities. Already a significant number of vendors have expressed interest in the Micromuse Alliance Program to develop and provide off-the-shelf integrated solutions for mutual customers. Toward that end, Micromuse actively enlists best-in-class solutions providers offering applications complementary to the Netcool® suite. Micromuse provides its approved Netcool Ready™ level program members with the Netcool/Software Developers Kit™ (Netcool/SDK™) application. Provided in CD-ROM format, the Netcool/SDK application provides the tools necessary to develop integration modules for Netcool Probes™, Netcool Gateways™ and Netcool Data Source Adapters™.

About the Netcool® Suite

Micromuse's Netcool® software suite collects management data from more than 300 management environments and network devices, including voice, data and Internet. Fault data is rapidly processed and filtered by the Netcool ObjectServer™, an in-memory database. The Netcool suite helps operators to build views of service availability in realtime, helping them manage networks more efficiently. Because it is scalable and deploys rapidly, the Netcool suite helps service providers expand their networks as their markets grow.

About Micromuse

Micromuse Inc. (Nasdaq: MUSE) is the leading provider of realtime fault management and service assurance software. Micromuse's recent list of awards include the TeleStrategies OSS Excellence Award for Best New Product for the Netcool®/Visionary™ application, and Web Hosting Magazine Editor's Choice Award. In addition, Micromuse has been recognized in the Forbes 500, Bloomberg's Top 100 Stocks, the Barron's 500, Deloitte & Touche's Technology Fast 500, San Francisco Chronicle 500, Individual Investor's Index of America's Fastest Growing Companies and Network World's NW200. Micromuse customers include AT&T, BT, Cable & Wireless, Cellular One, Charles Schwab, Deutsche Telekom, Digex, EarthLink, ITC^DeltaCom, MCI Worldcom, One2One, Verizon, XO Communications, and a number of financial investment concerns. Headquarters are located at 139 Townsend Street, San Francisco, Calif. 94107; (415) 538-9090. The website is at www.micromuse.com.

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Micromuse and Netcool are registered trademarks of Micromuse Inc. All other trademarks and registered trademarks in this document are the properties of their respective owners. Any statements contained in this press release that do not describe historical facts may constitute forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. Any forward-looking statements contained herein are based on current expectations, but are subject to a number of risks and uncertainties.

The factors that could cause actual future results to differ materially from the forward-looking statements include the following: fluctuations in customer demand, the Company's ability to manage its growth (including the ability to hire sufficient sales and technical personnel), the risks associated with the expansion of the Company's distribution channels, the risk of new product introductions and customer acceptance of new products; the rapid technological change which characterizes the Company's markets, the risks associated with competition, the risks associated with international sales as the Company expands its markets, and the ability of the Company to compete successfully in the future, as well as other risks identified in the Company's Securities and Exchange Commission Filings, including but not limited to those appearing under the caption "Risk Factors" in the Company's most recent Quarterly Reports on Form 10-Q and on Form 10-K on file with the Securities and Exchange Commission and available on the Company's website.