Exhibit 99.1





INVESTOR AND MEDIA CONTACT:
George L. Hernandez
SoftNet Systems, Inc.

415-354-3904
investors@softnet.com


      SOFTNET SYSTEMS, INC. ANNOUNCES TERMINATION OF INTELLICOM OPERATIONS

SAN FRANCISCO -- April 10, 2002--SoftNet Systems, Inc. (the "Company") (NASDAQ:
SOFN - news), today announced that effective April 3, 2002, the Company's
operating subsidiary, Intelligent Communications, Inc. ("Intellicom"), ceased
operations, following the disposition of certain assets. Edward Bennett, the
Company's Acting Non-Executive Chairman, said, "The decision to discontinue the
operations of Intellicom reflects the Company's continuing focus on maximizing
the value of the company's cash and other assets. We expect a decision on the
future direction of the Company shortly, and will then establish a date for any
stockholder vote required on that decision promptly thereafter."


For more information about the Company, please visit www.softnet.com.

This press release contains forward-looking statements concerning the Company's
anticipated future operating results, future revenues and earnings or adequacy
of future cash flows. These forward-looking statements include, but are not
limited to, statements containing the words "hope", "expect", "believe", "will",
"may", "should", "project", "estimate", and "approximately", and like
expressions, and the negative thereof. These statements are subject to risks and
uncertainties that could cause actual results to differ materially from the
statements, including the risks attendant to a growing business in a new
industry as well as those risks described in the Company's Quarterly and Annual
Reports.