BSQUARE Introduces First Device Development Package Combining Intel XScale Microarchitecture with Microsoft Windows CE

Business Wire, Feb 25, 2002

Business Editors and Technology Writers

Intel Developer Forum 2002

Booth #107

SAN FRANCISCO--(BUSINESS WIRE)--Feb. 25, 2002

SmartBuild Speeds Time to Market and Saves

Significant Development Costs

Helping OEMs, ODMs, wireless carriers and systems integrators overcome the challenges of developing smart handheld devices, BSQUARE Corporation (Nasdaq:BSQR) today announced the availability of its SmartBuild(TM) Development Package for the Intel(R) XScale(TM) microarchitecture, a feature-rich solution that includes the necessary system software, application software and hardware reference platform to build a handheld device based on the Microsoft(R) Windows(R) CE operating system and the Intel(R) XScale(TM) microarchitecture.

Building smart handheld devices poses unique challenges for manufacturers. Devices can take up to two years to develop from initial product conceptualization to volume production. This time frame is too slow in emerging handheld industries where early market entry is critical. With millions of dollars in development costs required, most manufacturers don't have the resources to discover which form factors and applications are most successful to refine their products for niche markets.

SmartBuild solves these challenges by helping companies build smart handheld devices in virtually any form factor, from PDAs and game players to industrial automation and medical products, more rapidly and cost-effectively than ever before.

"SmartBuild is a comprehensive package that can be used as a reference platform, evaluation and demonstration system, or total development solution for devices running Windows CE on Intel XScale technology," said Randy Billings, vice president of Handheld Device Solutions for customizable solution, the risks associated with building smart handheld devices are dramatically lowered."

"As one of the innovators enabling smart devices, BSQUARE showcases the key attributes of the Intel XScale microarchitecture," said Mark Casey, director of marketing for Intel's Handheld Computing Division. "The SmartBuild Development Package is a key catalyst for OEMs/ODMs to bring their Intel XScale technology based designs to market quicker."

SmartBuild Development Package Includes:

Hardware

-- System Software Kit (SSK) incorporating the Windows CE operating system,
binary boot loader, OEM Adaptation Layer (OAL) and device drivers. SSK also
includes power management features such as persistent file system and data
registry, voltage-on-demand and frequency-on-demand functions.

-- Software Development Kit (SDK) includes a design tool for skinnable user
interfaces, feature-rich browser, JVM, Flash and PDF plug-ins, email and
instant messaging applications.

-- Remote management client.

Software

-- System Software Kit (SSK) incorporating the Windows CE operating system,
binary boot loader, OEM Adaptation Layer (OAL) and device drivers. SSK also
includes power management features such as persistent file system and data
registry, voltage-on-demand and frequency-on-demand functions.

-- Software Development Kit (SDK) includes a design tool for skinnable user
interfaces, feature-rich browser, JVM, Flash and PDF plug-ins, email and
instant messaging applications.

-- Remote management client.

Pricing and Availability

The SmartBuild Development Package will be available in Q2 2002 priced at $10,000. For more information about the BSQUARE SmartBuild product family, contact BSQUARE sales at sales@bsquare.com or call 888/820-4500.

About BSQUARE

BSQUARE Corporation (Nasdaq:BSQR) is a global leader in providing solutions for smart devices in consumer, enterprise, industrial, and automotive markets. As a Windows Embedded Partner Gold-level Member for Microsoft, BSQUARE empowers the creation, connection, and management of Windows Powered smart devices through software, hardware, and service solutions. BSQUARE has an extensive product portfolio of software development and quality assurance tools, device and device management software and complete end-to-end managed device solutions. BSQUARE also provides critical engineering services including device development, quality assurance, and system integration as well as services for managing client devices deployed into the market. For more information, visit BSQUARE at www.BSQUARE.com or call 888/820-4500.

BSQUARE is a registered trademark of BSQUARE Corporation. All other product and company names herein may be trademarks of their respective owners.

This release may contain forward-looking statements relating to our sales that are subject to certain risks and uncertainties that could cause actual results to differ materially from those projected. The words "believe," "expect," "intend," "anticipate," variations of such words, and similar expressions identify forward-looking statements, but their absence does not mean that the statement is not forward-looking. These statements are not guarantees of future performance and are subject to certain risks, uncertainties and assumptions that are difficult to predict. Factors that could affect BSQUARE's actual results include adverse changes in BSQUARE's relationship with Microsoft, a decline in the market for Windows Embedded smart devices or the failure of such market to develop as anticipated, risks associated with international business, a change in strategy relating to indirect channels, delays or announcements of delays by Microsoft of Windows Embedded product releases, risks associated with fixed-fee contracts, competition and intellectual property risks. A more detailed description of certain factors that could affect actual results include, but are not limited to, those discussed in BSQUARE's Quarterly Report on Form 10-Q, in the section entitled "Certain Factors That May Affect Future Results." Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this release. BSQUARE undertakes no obligation to update publicly any forward-looking statements to reflect new information, events or circumstances after the date of this release or to reflect the occurrence of unanticipated events.