ViryaNet and Open Spatial to Create Comprehensive Solution for More Efficient Management of Assets

SOUTHBOROUGH, MA - April 5, 2006 -ViryaNet Limited (Nasdaq: VRYA), a leading provider of software applications that automate business processes for mobile workforce management and field service delivery, and Open Spatial, a provider of the Munsys suite of Spatial Data Management and Enlighten Distribution products, today announced that they intend to integrate their respective products to help utility organizations improve the dispatch of technicians to field assets.

Open Spatial's Enlighten product enables utilities and public works authorities to provide map and spatial assets information, such as electricity, drainage, roads, sewer, and water networks. Enlighten is an Open Geospatial Compliant product that is a user friendly, easy to use spatial application that creates a complete picture of the infrastructure of an organization.

The ViryaNet product enables utilities within the gas, water and electric segments of the market to manage the execution of all types of fieldwork. The ViryaNet product receives work orders from external systems, optimally schedules appropriate engineers, sends all relevant data to their mobile devices, returns updated data from the field to any external systems, and provides an executive dashboard to monitor all field activity in real-time.

With this comprehensive solution, a public works authority or utility will be able to graphically view and locate its assets and dispatch crews in optimal ways to repair conditions and minimize downtime, thus eliminating potentially dangerous situations. The solution also will allow management, dispatchers and call center staff to quickly see the status of incidents, and provide estimated restoration times to customers.

"This comprehensive solution will allow utility companies to address the management of the entire restoration cycle, from initial outage, to personnel scheduling, to problem resolution, to follow-up field reporting, to electronically marking up corrections in the field," said Jeff Oskin, COO, ViryaNet.

Anthony Jahshan Managing Director Open Spatial commented, "ViryaNet and Open Spatial already service the needs of similar large utility and public works clients. This closer alignment ensures these and future customers of a tightly integrated solution that will be certified by our companies."

The two companies will be marketing to utility companies in Australia and North America. The integrated product will be commercially available in the third quarter 2006.

About Open Spatial Inc.
Open Spatial delivers geospatial solutions based on Oracle and Autodesk technologies throughout North America and in the Asia Pacific region. Recognised for delivering applications to government and utilities sectors throughout the region, solutions are based on internationally accepted open standards and world-class best practices. Open Spatial offers innovative spatial infrastructure solutions to managing spatial data from survey through to design, construction, and ongoing spatial data management. www.openspatial.com.au

About ViryaNet
ViryaNet is a provider of software applications that improve the quality and efficiency of an organization's service operations. ViryaNet's products enable companies in the utilities, telecommunications, retail and general service sectors to manage and optimize mission critical business processes, resulting in increased service revenues, decreased service costs, and maximized customer satisfaction. The robust set of applications help companies improve workforce scheduling, dispatching, and activity reporting; customer contract and entitlement automation; and asset, logistics, and depot repair management. Visit ViryaNet at www.viryanet.com.

Safe Harbor Statement
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: The statements contained in this press release that are not purely historical are forward-looking statements within the meaning of Section 21E of the Securities and Exchange Act of 1934, as amended, including statements regarding ViryaNet's expectations, beliefs, intentions, or strategies regarding the capabilities of its products, its relationships with its customers, its customer purchases, its future operational plans and objectives including integration of other businesses, its future business prospects, its future financial performance, its future cash position, and its future prospects for profitability. All forward-looking statements included in this document are based upon information available to ViryaNet Ltd. as of the date hereof, and ViryaNet Ltd. assumes no obligation to update any such forward-looking statements. Forward-looking statements involve risks and uncertainties, which could cause actual results to differ materially from those projected. These and other risks relating to ViryaNet's business include market acceptance of and demand for the Company's products, risks associated with a slow-down in the economy, risks associated with the financial condition of the company's customers, risks associated with competition and competitive pricing pressures, risks associated with increases in costs and operating expenses, risks in technology development and commercialization, the risk of operating losses, risks in product development, risks associated with international sales, and other risks that are set forth in ViryaNet's reports filed from time to time with the Securities and Exchange Commission. Reported results should not be considered an indication of future performance. You should not place undue reliance on these forward-looking statements, which speak only as the date hereof. ViryaNet disclaims any obligation to publicly update or revise any such forward-looking statements to reflect any change in our expectations or in events, conditions, or circumstances on which any such statements may be based, or that may affect the likelihood that actual results will differ from those set forth in the forward-looking statements.
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