BSQUARE Corporation Reports Inducement Grants Under NASDAQ Listing Rule

BSQUARE Corporation

today announced that on January 18, 2012 the Compensation Committee of its Board of Directors approved the grant of stock options to purchase an aggregate of 161,450 shares of Bsquare common stock to 55 new employees, the majority of whom joined Bsquare as a result of the MPC Data acquisition. Each stock option has an exercise price per share equal to $3.45 the fair market value of Bsquare common stock on the grant date, and vests over four years, with 25% of the shares vesting on each annual anniversary of the grant date, subject to each new employee's continued service relationship with Bsquare. Each stock option has a ten-year term and is subject to the terms and conditions of the BSQUARE Corporation 2011 Inducement Award Plan. Options granted to employees in the United Kingdom are also subject to the terms and conditions of the 2011 Inducement Award Plan U.K. Approved Subplan.