ViryaNet Signs Global Reseller Agreement With EDS; Agreement Targets Customer Wins for Joint IT...

Business Editors/High-Tech Writers

SOUTHBOROUGH, Mass.--(BUSINESS WIRE)--Oct. 31, 2003

ViryaNet (NasdaqSC: VRYA), a leading provider of integrated mobile and Web-based software applications for workforce management and the automation of field service delivery, and EDS, the premier

As part of the agreement, EDS will resell ViryaNet Service Hub and will implement, and support the ViryaNet solutions in a variety of industries. Joint rollouts between the two companies are expected to optimize mobile field service workforces.

The companies have also announced a current joint implementation at Louisville Water, a large utility based in Louisville, Kentucky. EDS and ViryaNet project managers, technical staff, and business analysts are working together to deploy ViryaNet Service Hub to Louisville Water's extended field workforce and integrate the solution with its call center.

"With its global reach and depth of resources, EDS is uniquely qualified to deliver the full suite of services around ViryaNet software products," said Win Burke, president and CEO, ViryaNet. "This partnership is a testament to the vision both companies have for driving better performance productivity and savings for field workforces."

"EDS has taken a careful look at the mobile field service space and we believe that companies that look at it as an end-to-end process have had better returns. There are a number of providers that offer end-to-end applications to support this view, and we believe that ViryaNet has the experience and product maturity customers are looking for," stated Ken Quaglio, vice president, EDS. "The combination of the ViryaNet Service Hub platform together with strong business processes and value added services from EDS will enable us to offer clients a solution that can provide tangible results."

About ViryaNet

ViryaNet is a provider of software applications that improve the quality and efficiency of an organization's service operations. ViryaNet's flagship product -- the award-winning ViryaNet Service Hub -- combines the power of the Internet, the freedom of wireless technologies, and the resources of ViryaNet's deep service expertise to help companies improve workforce scheduling, dispatching, and activity reporting; customer contract and entitlement automation; and asset, logistics and repairs management.

Customers in the utility, telecommunications, grocery and retail, high-technology manufacturing, HVAC, and other service industries use ViryaNet Service Hub to transition complex service business processes into a manageable, scalable Internet operation, with the goal of increasing service revenues, decreasing service costs, and maximizing customer satisfaction.

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 Form 20-F, dated July 15, 2003, and the other 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.