8-K

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

Washington, DC 20549

FORM 8-K

CURRENT REPORT PURSUANT
TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934

Date of Report (Date of earliest event reported) July 3, 2007

VYYO INC.

(Exact Name of Registrant as Specified in Its Charter)

Delaware	000-30189	94-3241270
(State or Other Jurisdiction	(Commission	(IRS Employer
of Incorporation)	File Number)	Identification No.)
6625 The Corners Parkway, Suite 100, Norcross, Georgia		30092
(Address of principal executive offices)		(Zip Code)
Registrant’s Telephone Number, Including Area Code  (678) 282-8000
	N/A
(Former Name or Former Address, if Changed Since Last Report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

oWritten communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

oSoliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

oPre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

oPre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 1.01Entry into a Material Definitive Agreement.

On July 3, 2007, Vyyo Inc. (the “Registrant”) announced that it had entered into an Employment Agreement with David Feldman, to serve as the Registrant’s Chief Technology Officer (the “Employment Agreement”), effective as of July 15, 2007 (the “Effective Date”).  A copy of the Employment Agreement is attached hereto as Exhibit 10.1.

Mr. Feldman, age 51, served as Vice President, Technology with Charter Communications from 2003 to 2006.  Prior to that time, Mr. Feldman was with Jones Intercable for six years.  Prior to Charter and Jones Intercable, Mr. Feldman served as Vice President, Engineering for Nova-Net Communications for seven years, and was a staff engineer at Phasecom. Mr. Feldman also served as a consultant for, or on staff of, a variety of other companies such as American Television & Communications; MediaOne; Sprint Nextel Corporation; U.S. West Wireless; and Convacent Corporation, and has held undergraduate teaching positions at the University of Denver.  Mr. Feldman holds a Bachelor of Science and a Masters of Science in Electrical Engineering from the University of Colorado, Denver.

The Employment Agreement is for a two-year term, with automatic one-year renewals, subject to termination upon prior notice by either party.  Mr. Feldman will receive an annual base salary of $170,000, which will be reviewed on or before December 31, 2007 and thereafter based on Mr. Feldman’ services and the Registrant’s financial results.  Mr. Feldman is eligible to receive employee benefits available to all employees and may become eligible to receive an annual cash bonus up to 50% of his then-current annual salary based on performance objectives to be agreed to by Mr. Feldman and the Registrant’s Chief Executive Officer.  The Registrant will recommend to its Compensation Committee that Mr. Feldman be granted a stock option to purchase 100,000 shares of the Registrant’s common stock subject to the Registrant’s standard vesting for new employees:  25% to vest at the one year anniversary of the grant with the remaining vesting in equal monthly installments for the next 36 months.  The exercise price of the stock options will be the closing price of the Registrant’s common stock on the date of grant.

If the Employment Agreement is terminated without “Cause” (as defined therein) before the initial two-year term, the Registrant must pay Mr. Feldman severance equal to six months of his annual salary (without bonus), payable over such period in accordance with the Registrant’s usual payroll practices.

If Mr. Feldman’ employment is terminated upon a “Change of Control” (as defined in the Employment Agreement), Mr. Feldman shall be entitled to (a) in lieu of the severance described in the foregoing paragraph, severance equal to his annual salary in effect during the year in which a Change of Control occurs; (b) immediate vesting of all unvested stock options; and (c) continuation of life, health, disability, vision, hospitalization, dental and other insurance coverage for one year for Mr. Feldman and his spouse.  If upon a Change of Control Mr. Feldman is offered employment by the Registrant’s successor with responsibilities substantially similar to those in the Employment Agreement and Mr. Feldman does not accept the offer, 33.3% of Mr. Feldman’ stock options will immediately vest.  If upon a Change of Control Mr. Feldman accepts employment by the Registrant’s successor with responsibilities substantially similar to those in the Employment Agreement, 33.3% of  Mr. Feldman’ stock options will immediately vest.  If Mr. Feldman terminates his employment for Good Reason (as defined in the Employment Agreement) with the Registrant’s successor on or after the six-month anniversary of the Effective Date of the Employment Agreement, all remaining stock options held by Mr. Feldman will immediately vest.

A copy of the press release announcing the foregoing management changes is attached hereto as Exhibit 99.1.

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Item 5.02Departure of Directors or Principal Officers; Election of Directors; Appointment of Principal Officers; Compensatory Arrangements of Certain Officers.

See Item 1.01 above for a description of the appointment of Mr. Feldman as the Registrant’s Chief Technology Officer and details regarding the material terms of the Employment Agreement.

Item 9.01.              Exhibits.

Item 9.01(d)

Exhibit
Number	Description of Exhibit
10.1	Employment Agreement with David Feldman, effective as of July 15, 2007.
99.1	Press Release of Vyyo Inc. dated July 3, 2007.

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SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

	VYYO INC.
Date: July 3, 2007	By:	/s/ Tashia L. Rivard
		Tashia L. Rivard
		General Counsel and Corporate Secretary

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EXHIBIT INDEX

Exhibit
Number	Description of Exhibit
10.1	Employment Agreement of David Feldman, effective as of July 15, 2007.
99.1	Press Release of Vyyo Inc. dated July 3, 2007.

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EX-10.1

Exhibit 10.1

EMPLOYMENT AGREEMENT

THIS EMPLOYMENT AGREEMENT (this “Agreement”) is by and between Vyyo Inc., a Delaware corporation (the “Company”), and David Feldman (“Feldman”).

In connection with Feldman’s employment with the Company, the Company and Feldman desire to enter into this Agreement according to the terms and conditions set forth below.

NOW, THEREFORE, the parties hereto hereby agree as follows:

1.Employment Duties.

a.General.  The Company hereby agrees to employ Feldman, and Feldman hereby agrees to accept employment with the Company, on the terms and conditions set forth below, which employment shall be effective as of July 15, 2007 (the “Effective Date”).

b.Company’s Duties.  The Company shall allow Feldman to, and Feldman shall, perform responsibilities normally incident to the position of Chief Technology Officer, commen­surate with his background, education, experience and professional standing.  The Company shall provide Feldman with such office equipment, supplies, customary services and cooperation suitable for the performance of his duties.

c.Feldman’s Duties.  Feldman shall devote such time as necessary to fully perform his services as Chief Technology Officer and shall report directly to the Company’s Chief Executive Officer. The parties acknowledge that Feldman will perform his duties from the Company’s facility in Englewood, Colorado, and shall be required to travel to the Company’s other facilities as the Company’s business dictates.

2.Term.     The initial term of this Agreement is two years (the “Initial Term”).  There­after, this Agreement may be renewed by Feldman and the Company on such terms as the parties may agree to in writing.  Absent written notice of termination of this Agreement given by one party to the other party not less than 30 days prior to the end of the Initial Term or any Renewal Term (as defined below), this Agreement will be automatically renewed for a one-year extension (each such extension a “Renewal Term” and the Initial Term together with any and all Renewal Terms, the “Term”).  Notwithstanding the foregoing, this Agreement is subject to earlier termination as provided herein.

3.Compensation.  Feldman shall be compensated as follows:

a.Salary.  Feldman shall receive an annual salary of One Hundred Seventy Thousand Dollars ($170,000).  The Company agrees to review the salary on or before December 31, 2007, and thereafter at the end of each calendar year during the Term based upon Feldman’s services and the financial results of the Company, and to make such changes as may be determined appropriate in the sole discretion of the Company’s Compensation Committee or Board of Directors.  Feldman’s annual salary shall be payable on a semi-monthly basis, in accordance with the Company’s usual payroll practices.

b.Bonus Compensation. During each calendar year in the Initial Term, Feldman may become eligible to receive an annual cash bonus up to an aggregate of 50% of his then current salary based on performance objectives to be agreed to by Feldman and the Company’s Chief Executive Officer.  The performance objectives will be established each year as follows:  (i) for the 2007 calendar year, no later than 60 days following the Effective Date; and (ii) for subsequent calendar years, no later than 60 days following the start of such calendar years. Any bonus earned by Feldman in a particular calendar year will be paid by the Company in the manner and time period agreed to by the parties.  The bonus shall be prorated should Feldman’s employment terminate prior to a full calendar year.

c.Stock Options.  The Company’s management will recommend to the Company’s Board of Directors or Compensation Committee that Feldman be granted a stock option to purchase 100,000 shares of the Company’s capital stock at the next regularly scheduled quarterly meeting.  If approved, the stock options would be granted with an exercise price equal to fair market value of the Company’s common stock on the date of grant and would be governed by the terms of an option agreement setting forth the vesting schedule of such shares (standard four year vesting:  25% vests on one year anniversary of the Effective Date, with remaining equal monthly installments over the successive 36 months).  If there is any conflict between this Agreement and the terms of the option agreement, the terms of the option agreement will control.

d.Paid Time-Off.  Feldman shall accrue paid time-off in accordance with the terms of the Company’s paid time-off policy.  Feldman shall be compensated at his usual rate of base compen­sation during any such paid time-off.  Feldman shall be entitled to paid holi­days as generally given by the Company and shall receive sick leave or disability leave in accordance with the terms of the Company’s standard sick leave or disability leave policy.

e.Benefits.  Feldman and his dependents shall be entitled to participate in any group plans or programs maintained by the Company for any employees relating to group health, disability, life insurance and other related benefits as in effect from time to time subject to the terms and conditions of such plans. Feldman shall also be entitled to director and officer insurance in such amounts and coverage and such indemnification provisions as are afforded other officers and directors of the Company.  The foregoing benefits shall be paid by the Company.

f.              Expenses.  The Company shall reim­burse Feldman for his normal and reasonable expenses incurred for travel, entertainment and similar items in promoting and carrying out the Company’s business in accordance with the Company’s general policy as

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adopted from time to time.  In addition, Feldman shall be reimbursed for the reasonable costs associated with cellular telephone usage and shall be entitled to reimbursement for such reasonable continuing professional education, memberships and certifications as are deemed normal and appropriate for executive officers as determined by the Company.  As a condition of payment or reimbursement, Feldman agrees to provide the Company with copies of all available invoices and receipts, and otherwise account to the Company in sufficient detail to allow the Company to claim an income tax deduction for such paid item, if such item is deductible.  Reimbursements shall be made on a monthly or more frequent basis in accordance with the Company’s reimbursement policies then in effect.

4.Confidentiality and Competitive Activities.  Feldman agrees to execute an the Company’s standard form of  employee proprietary information and inventions agreement, which will include provisions related to confidentiality of Company information, assignment of inventions, non-competition and non-solicitation of customers and employees.

5.Termination.

a.Termination without Cause; Voluntary Termination.  The Company may terminate this Agreement and Feldman’s employment hereunder without Cause (as defined below) and with or without prior review or warning by providing 60 days prior written notice to Feldman.  Feldman may volun­tarily terminate his employ­ment at any time upon 60 days’ prior written notice to the Company.

b.Termination for Cause.  The Company may immedi­ately terminate Feldman’s employment at any time for Cause.  Termination for Cause shall be effective from the receipt of written notice thereof to Feldman­ specifying the grounds for termination.  “Cause” shall be deemed to include:  (i) Feldman’s willful misconduct, or failure to perform, his material duties provided that Feldman is given written notice setting forth with reasonable specificity such misconduct or failure and Feldman fails to correct such behavior within 30 days following receipt of notice; (ii) Feldman’s conviction of a felony offense or conviction for any unlawful act which would be materially detrimental to the Company’s reputation, or a material act of dishonesty, moral turpitude, fraud, embezzlement, misappropriation or financial dishonesty against the Company; or (iii) Feldman’s breach of any material provision of this Agreement or breach of his employee proprietary information agreement. The Company’s exercise of its rights to terminate with Cause shall be without prejudice to any other remedies it may be entitled at law, in equity or under this Agreement.

c.Termination Upon Death or Disability.  This Agree­ment shall automatically terminate upon Feldman’s death.  In addition, if any disability or incapacity of Feldman to perform his duties as the result of any injury, sickness, or physical, mental or emotional condition continues for a period of 30 days (excluding any accrued paid time-off) out of any 120 calendar day period, the Company may terminate Feldman’s employ­ment upon written notice.  Payment of salary to Feldman during any sick leave shall only be to the extent that Feldman has accrued paid time-off.

6.Severance Payment Upon Termination of Employment.  The severance payment set forth below shall be in addition to any amounts owed to Feldman as earned but

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unpaid wages through the date of termination and accrued but unused vacation through the date of termination.

a.Termination Without Cause.  If the Company terminates this Agreement without Cause prior to the end of the Initial Term, the Company shall pay Feldman a severance payment equal to six months of his annual salary (without bonus), payable over such period in accordance with the Company’s usual payroll practices.  For the avoidance of doubt, the six months of severance provided for in this Section 6(a) shall include the 60 days of notice required by Section 5(a) regarding termination without Cause.

b.Execution of Release.  Feldman agrees that Feldman’s right to receive any severance payment is conditioned on the prior execution by Feldman of a binding general release (in such form as the Company may determine) of any and all claims against the Company and any affiliates, and their respective officers, directors, employees or other agents.

7.Compensation Upon a Change of Control.

a.Change of Control Termination.  Upon a Change of Control Termination (as defined below), Feldman shall be entitled to the following compensation:

(i)Cash Payment.  In lieu of any severance payment described above in Section 6, payment in cash of an amount equal to the sum of one times Feldman’s then current annual salary as in effect for the calendar year in which the Change of Control Termination occurs, payable in accordance with the Company’s usual payroll practices.

(ii)Stock Options.  Any stock options granted to Feldman that are outstanding immediately prior to but are not vested as of the date of the Change of Control Termination shall become 100% vested as of the date of the Change of Control Termination.

(iii)Benefits.  For a period of one year following Feldman’s date of termination, the continuation of the same or comparable life, health, disability, vision, hospitalization, dental and other insurance coverage (including equivalent coverage for Feldman’s spouse and dependent children) as Feldman was receiving immediately prior to the Change of Control.

b.Offer of Employment with Successor.  If upon a Change of Control Feldman is offered employment by the Company’s successor with responsibilities substantially similar to that contemplated by this Agreement and Feldman does not accept such offer, 33.3% of the stock options granted to Feldman that are outstanding immediately prior to but are not vested as of the date of the Change of Control shall become vested as of the date of the Change of Control.

c.Employment with Successor.  If upon a Change of Control Feldman accepts employment with the Company’s successor with responsibilities substantially similar to that contemplated by this Agreement, 33.3% of the stock options granted to Feldman that are outstanding immediately prior to but are not vested as of the date of the Change of Control shall

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become vested as of the date of the Change of Control. If Feldman terminates his employment for Good Reason (as defined below) with the Company’s successor on or after the 6-month anniversary of commencement of such employment, all remaining stock options granted to Feldman that are outstanding immediately prior to but are not vested as of the date of his termination for Good Reason shall become vested as of the date of such termination.

d.For the purposes of this Section, “Change of Control” means the occurrence of any of the following events:

(i)any “person” (as such term is used in Sections 13(d) and 14(d) of the Securities Exchange Act of 1934, as amended) becomes the “beneficial owner” (as defined in Rule 13d-3 under said Act), directly or indirectly, of securities of the Company representing 50% or more of the then outstanding shares of the Company’s common stock or the total voting power represented by the Company’s then outstanding voting securities (other than pursuant to a Business Combination which is covered by clause (iii) below);

(ii)the consummation of the sale or other disposition (including in whole or in part through licensing arrangement(s)) of all or substantially all of the Company’s assets, other than sales, other dispositions or licenses of assets made to a parent or a wholly-owned subsidiary of the Company, or an entity under common control with the Company;

(iii)the consummation of a reorganization, merger, statutory share exchange or consolidation or similar transaction involving the Company or the acquisition of assets or stock of another entity by the Company or any of its subsidiaries, or a series of related such transactions (each, a “Business Combination”), in each case unless following such Business Combination (A) the voting securities of the Company outstanding immediately prior thereto continue to represent (either by remaining outstanding or by being converted into voting securities of the surviving entity or any entity (a “Parent”) that, as a result of such transaction, owns the Company or the surviving entity or all or substantially all of the Company’s or surviving entity’s assets directly or through one or more subsidiaries) at least 50% of the total voting power represented by the Company’s voting securities or such surviving entity or Parent outstanding immediately after such Business Combination; and (B) no person (excluding any entity resulting from such Business Combination or a Parent or any employee benefit plan (or related trust) of the Company or such entity resulting from such Business Combination or Parent) beneficially owns, directly or indirectly, 50% or more of, respectively, the then-outstanding shares of common stock of the entity resulting from such Business Combination or the total voting power of the then-outstanding voting securities of such entity, except to the extent that the ownership in excess of 50% existed prior to the Business Combination; or

(iv)approval by the Company’s stockholders of a complete liquidation or dissolution of the Company other than in the context of a transaction or series of related transactions that would not constitute a Change of Control under clause (iii) above.

e.For the purposes of this Section, a “Change of Control Termination” shall mean a termination of employment within one year following a Change of Control where the Company or a party effecting a Change of Control of the Company terminates Feldman’s

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employment without Cause, other than as the result of Feldman’s death or disability.

f.For the purposes of this Section, “Good Reason” shall exist if Feldman terminates his employment within 60 days of the occurrence of any of the following:  (i) a material adverse change in his position or title; or (ii) a reduction in his base salary from that provided in this Agreement unless the reduction affects all employees generally.

8. Corporate Opportunities.

a.Duty to Notify.  In the event that during the Term Feldman shall become aware of any material and significant business opportunity directly related to any of the Company’s significant businesses, Feldman shall promptly notify the Company’s Board of Directors of such opportunity.  Feldman shall not appropriate for himself or for any other person other than the Company, or any affiliate of the Company, any such opportunity unless, as to any particular opportunity, the Board of Directors fails to take appropriate action within 30 days.  Feldman’s duty to notify the Company and to refrain from appropriating all such opportunities for 30 days shall neither be limited by, nor shall such duty limit, the application of the general law of Colorado relating to the fiduciary duties of an agent or employee.

b.Failure to Notify.  In the event that Feldman fails to notify the Company of, or so appropriates, any such opportunity without the express written consent of the Company, Feldman shall be deemed to have violated the provisions of this Section notwith­standing (i) the capacity in which Feldman shall have acquired such opportunity; or (ii) the probable success in the Company’s hands of such opportunity.

9.Miscellaneous.

a.Entire Agreement.  This Agreement constitutes the entire agreement and understanding between the parties with respect to the subject matters herein, and supersedes and replaces any prior agreements and understandings, whether oral or written between them with respect to such matters.  The provisions of this Agreement may be waived, altered, amended or repealed in whole or in part only upon the written consent of both parties to this Agreement.

b.No Implied Waivers.  The failure of either party at any time to require performance by the other party of any provision hereof shall not affect in any way the right to require such per­form­ance at any time thereafter, nor shall the waiver by either party of a breach of any provision hereof be taken or held to be a waiver of any subsequent breach of the same provision or any other provision.

c.Personal Services.  It is understood that the services to be performed by Feldman hereunder are personal in nature and the obligations to perform such services and the conditions and covenants of this Agreement cannot be assigned by Feldman.  This Agreement shall inure to the benefit of and bind the successors and assigns of the Company.

d.Severability.  If for any reason any provision of this Agreement shall be determined to be invalid or inoperative, the validity and effect of the other provisions hereof shall not be affected thereby.

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e.Applicable Law.  This Agreement shall be governed by and construed in accordance with the laws of the State of Colorado without regard to conflict of law principles.

f.Notices.  All notices, requests, demands, instruc­tions or other communications required or permitted to be given under this Agreement shall be in writing and shall be deemed to have been duly given upon delivery, if delivered personally, or if given by prepaid telegram, or mailed first-class, postage prepaid, registered or certified mail, return receipt requested, shall be deemed to have been given 72 hours after such delivery, if addressed to the other party at the addresses as set forth on the signature page below.  Either party hereto may change the address to which such communications are to be directed by giving written notice to the other party hereto of such change in the manner above provided.

{remainder of page intentionally left blank}

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IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first written above.

VYYO INC.		DAVID FELDMAN
6625 The Corners Parkway, Suite 100		188 Inverness Drive West, Suite 140
Norcross, Georgia 30092		Englewood, Colorado 80112
By:	/s/ Wayne H. Davis	/s/ David Feldman
	Wayne H. Davis, Chief Executive Officer	(Signature)
Date: 6/29/07		Date: 6/29/07

**SIGNATURE PAGE TO EMPLOYMENT AGREEMENT**

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EX-99.1

Exhibit 99.1

VYYO EXPANDS CABLE EXPERTISE; NAMES
FORMER CHARTER TECHNOLOGY VP DAVID FELDMAN AS CTO

Norcross, GA (July 3, 2007) – Vyyo Inc. (NASDAQ: VYYO), a supplier of broadband access equipment for cable system operators, announced today that it has strengthened the cable industry expertise of its executive management team through the selection of David Feldman as the company’s Chief Technology Officer.

Feldman has more than 30 years of cable and technology experience, including positions as Vice President, Technology with Charter Communications and Jones Intercable (now part of Comcast Corporation).  He most recently has served as a Principal Member of the Technical Staff of Advanced Micro Devices.  With Vyyo, he will be responsible for the continued evolution of the company’s UltraBand™ spectrum overlay solution as a platform for new, revenue-generating advanced broadband services.

“David Feldman has been one of the true pioneers in recognizing the value to cable operators of new service offerings,” said Wayne H. Davis, CEO of Vyyo.  “While in cable, he has been at the forefront of commercial rollouts of high-speed data and voice services, as well as other innovations that have empowered significant economic benefits for cable operators.”

“The common denominator that has driven the delivery of all new services for the industry has been the availability and power of bandwidth,” said Feldman.  “Vyyo’s foremost value is the capability of UltraBand to enable operators to deploy hundreds of channels of HD, HD on demand and such data services as T1, Ethernet and DOCSIS 3.0.”

With Charter from 2003 to 2006, Feldman was responsible for a variety of broadband innovations, including the increased integration of video, voice and data.  During his six years with Jones Intercable Feldman played a key role in pioneering the deployment of pre-standards compliant cable modem systems, resulting in the rollout of one of the first commercial broadband data deployments by a United States’ cable system operator.

Prior to Charter and Jones Intercable, Feldman served as Vice President, Engineering for Nova-Net Communications for seven years, and was a staff engineer at Phasecom, where he helped develop early cable modem products.  Feldman also served as a consultant for, or on staff of, a variety of other major companies such as American Television & Communications; MediaOne; Sprint Nextel Corporation; U.S. West Wireless; and Convacent

Corporation, and has held undergraduate teaching positions at the University of Denver.

Feldman holds a B.S. and an M.S. in Electrical Engineering from the University of Colorado, Denver.

About Vyyo Inc.

Vyyo Inc., (NASDAQ; VYYO), a leading supplier of broadband access equipment, delivers to cable system operators a powerful, economic platform with fiber-like performance that extends their dominant bandwidth position over the competition and drives new revenues. Vyyo’s spectrum overlay technology expands typical HFC (hybrid-fiber coax) network capacity in the “last mile,” offering the only cost-effective solution that quadruples upstream and doubles downstream bandwidth to help operators deliver new, advanced residential and business services at a fraction of the cost of fiber deployments. Vyyo is based in Norcross, GA. For more information, please visit http://www.vyyo.com.

Safe Harbor Statement

Statements made in this press release relating to the future, including those related to the opportunities created for our customers given our ability to provide spectrum overlay solutions, our ability to dramatically increase upstream and downstream bandwidth and the revenue opportunities provided by T1 service, are forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements involve risks and uncertainties, as well as assumptions that, if they do not fully materialize or prove incorrect, could cause our business and results of operations to differ materially from those expressed or implied by such forward-looking statements. Risks that may cause these forward-looking statements to be inaccurate include among others: whether we will be able to accelerate the movement from development stage to deployment and establish meaningful commercial relationships with cable system operators; the current limited visibility available in the telecommunications and broadband access equipment markets; the willingness and ability of operators to adopt our new technology and apply it in a manner that meets customer demands; our ability to produce and distribute our spectrum overlay and T1 solutions in the quantities, and with the quality control, desired by the market; and other risks set forth in our annual report on Form 10-K for the year ended December 31, 2006, our quarterly reports on Form 10-Q and other reports filed by us with the Securities and Exchange Commission from time to time. We assume no duty to update these statements.

All trademarks mentioned herein are the property of their respective owners.  DOCSIS is a trademark of Cable Television Laboratories, Inc.

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PUBLIC RELATIONS:	INVESTOR RELATIONS
Paul Schneider	Walt Ungerer
Paul Schneider Public Relations, Inc.	VP, Corporate Communications
(w) 215.702.9784	Vyyo Inc.
(m) 215.817.4384	678.488.0468
pspr@att.net	ir@vyyo.com