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ViryaNet Executes Successful Strategy; Builds Momentum for 2013

ViryaNet Limited (VRYAF), a leading provider of software solutions that optimize the planning, execution, and monitoring of service processes for mobile workforces, announced today a continuation of its successful strategy execution into 2013.

ViryaNet begins 2013 on a high note with 5 new customers selecting ViryaNet’s mobile workforce management solution in Q4-2012. Global implementations in Eastern Europe, South America, and the United States are expanding ViryaNet’s position within the utility market and enhancing our standing in the cable and telecommunications market.

In Q4-2012, ViryaNet introduced an innovative approach which integrates a Performance Management practice with the deployment of the ViryaNet G4 product. The tight integration of the Performance Management practice and products with the deployment of a mobile workforce management solution allows customers to focus on their business goals in a measurable way.

This approach has resonated with customers and prospects as a way to provide continuous improvement and realize performance goals on business objectives, attaining the maximum benefits from our solution. In fact, our innovative integrated Performance Management approach has gained overwhelming support, following a recent launch at our Customer Fly-In event.

“We have continued to successfully execute our strategy which focuses on the user experience and business value for customers. The momentum we experienced in Q4-2012 is evidence of how well this strategy resonates with customers,” said Memy Ish-Shalom, President and CEO, ViryaNet, “We are fundamentally strengthening the company, and in the coming year, we will focus on building on our core capabilities, enhancing our leadership position, and advancing new innovations that will drive ViryaNet’s growth beyond 2013.”

About ViryaNet

ViryaNet delivers mobile workforce management solutions that intelligently guide, automate, and optimize both simple and complex field service work, resulting in measurable business benefits. ViryaNet's products, pre-packaged solutions and people are recognized within the industry as innovative which in turn enables its' customers to be viewed as leaders within their respective industries. ViryaNet's G4 products specialize in the functions of scheduling and dispatching resources and enabling mobile field communication and are delivered in industry specific configurations. Embedding industry best practices and utilizing innovative technologies like ViryaNet's BPM Blueprint for Mobile Workforce Management™, Microsoft InfoPath® and device agnostic mobile solutions enable ViryaNet's products to be rapidly deployed and extended to support virtually any business process across a wide range of industries. ViryaNet is proud to call many of the world's leading utilities, the United States' largest pure rural telecommunications firm, the supermarkets' most respected retailer, and North America's largest auto insurer as customers. ViryaNet has strong partnerships with leading platform and system integration companies that enable it to have a global presence. Headquartered in Westborough, MA, ViryaNet has additional offices in the United States and Israel. For more information visit our website or follow us on twitter.

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 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 as of the date hereof, and ViryaNet 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 ViryaNet's products, risks associated with a slow-down in the economy, risks associated with the financial condition of ViryaNet'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 annual report on Form 20-F, filed on May 14, 2012, and the other reports filed by ViryaNet 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 its 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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