BSQUARE Provides Software Testing Solutions to JVC for New Handheld PC ``Inter Link MP-C102``.

Business Editors/Technology Writers

BELLEVUE, Wash.--(BUSINESS WIRE)--May 25, 2000

JVC selects BSQUARE based on its test automation solutions

for intelligent devices powered by Windows CE 

BSQUARE Corporation (Nasdaq:BSQR) announced today that it recently completed a test automation project for JVC of Japan.

Using its CEValidator(TM) Platform Tester product as a base, BSQUARE provided a custom test solution that enabled JVC to verify the port of Windows CE to its hardware, and send its new Inter Link MP-C102 handheld PC to manufacturing in record time.

"JVC is the first handheld PC manufacturer to shorten their testing time with an automated test product. We were extremely honored when they chose BSQUARE to provide the solution," stated Jim Walters, director of the Quality Assurance Products Group at BSQUARE. "We were able to take our state-of-the-art testing product, CEValidator, and add in some custom tests for them. The result was that we produced a test process for JVC that enabled them to ship their product faster."

"This was our second handheld PC product, and we wanted it to be perfect. That is why we invested in top quality testing products and services from BSQUARE," said Satoshi Yakko, General manager, IT Network Div, AV&Mutimedia Company of JVC. "They were responsive to our needs, and by customizing their standard product, able to help us complete our testing phase quickly. We are already enjoying the benefits of getting to market, sooner, thanks to BSQUARE."

According to a report published by Venture Development Corporation in 1999, the number of intelligent computing devices utilizing the Windows CE platform will increase from just under a million units in 1999 to more than 14 million units by 2003. All of these products will need to be tested for quality, and BSQUARE's CEValidator family of testing products can provide solutions specifically for this market.

BSQUARE Speeds JVC's QA process from Development

through Manufacturing

BSQUARE worked with JVC to analyze the quality assurance needs, create a test plan, and then implement the plan. Starting with CEValidator Platform Tester, the industry standard for Windows CE development testing and system quality assurance, BSQUARE quickly designed and developed customized manufacturing test suites for the Inter Link MP-C102 handheld PC. The tests were a critical element in the final test procedure at JVC to ensure top quality handheld PCs.

"Running a complete set of CEValidator test suites on a Window CE device including stress tests and iterative tests to check for memory leaks will take over 36 hours to perform," stated Walters. "Obviously, the time budget for product final testing is minutes, not hours, so we worked with JVC to create a comprehensive set of pass/fail tests for the key functional areas of the device that met their test time budget."

One of the first steps in BSQUARE's manufacturing test customization process for CEValidator was to reduce CEValidator's 9,500 test cases to include just those required for functional verification in the final test process. BSQUARE also structured the tests to run "stand-alone" on the device, eliminating the time for downloading of tests and uploading of log files to a host machine. When the tests were enabled, they produced pass/fail information for each functional area specified by JVC. In all, the manufacturing test suites developed by BSQUARE provided JVC with a complete self-tested Windows CE powered handheld PC.

BSQUARE offers a comprehensive line of test automation tools to help OEMs quickly complete product testing and send their products to market. CEValidator Platform Tester provides validation of the Windows CE port to your hardware platform through automated stress and performance testing. A companion product, the CEValidator Application Tester, provides validation of software applications through a fully automated test program. With the addition of custom manufacturing test suites through BSQUARE's quality assurance services, customers receive testing support throughout the entire quality assurance continuum: from development testing and system quality assurance through manufacturing testing.

About BSQUARE

BSQUARE (Nasdaq:BSQR) is innovating tomorrow's devices through software solutions for the development of intelligent computing devices. Specializing in the Microsoft Windows family of operating systems, BSQUARE supplies software products and services for the development and use of PC Companions, set-top boxes, web pads, Internet appliances, industrial automation devices, Windows-based terminals, and other mobile and wireless intelligent devices. From development tools to software infrastructures to end-user applications, the BSQUARE touch is on many embedded Windows-based devices available in the market today.

For more information, visit BSQUARE at http://www.bsquare.com or call 888/820-4500.

BSQUARE is a registered trademark of BSQUARE Corporation. All names, product names, and tradenames are trademarks or registered trademarks of their respective holders. Pricing is subject to change without notice.

This release contains 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 the failure of the market to accept these products and services, adverse changes in BSQUARE's relationship with Microsoft, a decline in the market for Windows -based intelligent computing devices or the failure of such market to develop as anticipated, delays or announcements of delays by Microsoft of Windows product releases, 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 "Risk Factors." 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.