BSQUARE Completes 300th Windows CE-Based Smart Device Design Engagement; Announces Suite of Windows CE 5.0 Solutions

Business Wire, June 29, 2004

SAN DIEGO -- BSQUARE (Nasdaq:BSQR) introduced new Windows CE 5.0 solutions today at Microsoft's Windows Embedded Developer Conference, and announced its continued momentum with Windows CE smart device makers as the "go-to" company for providing comprehensive Windows CE solutions for device makers.

The company's suite of Windows CE 5.0 solutions are designed to assist OEMs differentiate their devices and get to market rapidly. BSQUARE's new offerings supporting Windows CE 5.0 include Consulting and Engineering Service Packages, developer toolkits and licenses, product technical support packages, board support packages, and enhanced SDIO functionality.

The Consulting and Engineering Service Packages offer pre-defined sets of engineering services hours on a time and materials basis. Now device makers can streamline their short-term outsourcing needs by choosing from BSQUARE's 40-hour, 80-hour, and 160-hour service packages. In addition, BSQUARE is introducing Windows CE 5.0 product technical support packages, AMD Alchemy board support packages and it intends to provide Windows CE 5.0 Microsoft Official Curriculum training.

During the past year, BSQUARE completed consulting and engineering service engagements with tier one and tier two OEMs creating a diverse range of Windows CE-based smart devices including set-top boxes, handheld bar code scanners, home entertainment centers, ruggedized battlefield portable devices, medical handhelds, access points, and other innovative devices. The company also worked with leading silicon vendors to develop Windows CE-based board support packages and developed high quality drivers for key peripheral vendors.

"BSQUARE's unparalleled depth and breadth of customer experience has made us a trusted advisor for OEMs creating Windows Embedded and Windows Mobile-based devices," said Brian Crowley, president and CEO, BSQUARE. "We are thrilled to celebrate the milestone of our 300th Windows CE service engagement from the past 3 years alone and look forward to continuing our role as an extension of our customer's internal development teams."

Microsoft's new commercial derivatives licensing program for Windows CE, announced earlier this week, along with the introduction of the latest version of its popular embedded operating system are expected to create further market momentum. Licensees will maintain ownership of their derivative code and will not be obligated to share modifications with Microsoft or their competitors. BSQUARE will continue assisting OEMs to differentiate their smart devices by leveraging the rich functionality of Windows CE 5.0 software and applications.

"Our newly expanded licensing program for Windows CE 5.0 is a result of direct customer feedback that will further enable innovation for the growing number of device makers choosing our embedded software," said Jane Gilson, group product manager, Microsoft Mobile and Embedded Devices Division. "As a Windows Embedded Gold Systems Integrator and leading Value-Added Provider, BSQUARE continues to provide OEMs with integrated solutions that significantly enhance their Windows CE-based products."

About BSQUARE

BSQUARE is a leading global provider of software, engineering services and consulting for the smart device market. Since 1994, BSQUARE has provided world-class device makers with the building blocks necessary to design, develop, and test innovative products quickly and cost effectively. A sample of BSQUARE customers includes Motorola, Hewlett-Packard, Texas Instruments, Vodafone U.K., HTC, Microsoft and others. BSQUARE is one of Microsoft's largest value-added partners worldwide for Windows Embedded software, a Gold-level Systems Integrator of the year and a leading Windows Mobile solutions provider for Smartphone and Pocket PC. BSQUARE is a Texas Instruments-licensed Independent OMAP(TM) (Open Multimedia Application Platform) Technology Center. The company's SDIO Now! technology has been adopted by over 60 top-tier smart device makers. For more information, visit BSQUARE at www.bsquare.com or call 888-820-4500.