X0306 4 2021-01-13 0001054721 BSQUARE CORP /WA BSQR 0001313602 Derrickson Ralph C C/O BSQUARE CORPORATION 1415 WESTERN AVENUE, SUITE 700 SEATTLE WA 98101 1 1 0 0 President and CEO Performance Stock Units 2021-01-13 4 A 0 300000 0 A 2025-07-05 Common Stock 300000 300000 D Each performance stock unit represents a contingent right to receive one share of Issuer common stock. If the volume-weighted average price of Issuer's common stock during any 180 calendar day-period in the period beginning on January 5, 2021 and ending on July 4, 2025 equals or exceeds $3.25, $4.25 and $6.25 (each, a "Performance Condition"), then one-third of the PSUs will become eligible to vest at each such price. Vesting occurs upon the later of (i) the date of achievement of applicable Performance Condition, or (ii) the service vesting date, which vests as to 25% on January 5, 2022, and as to 6.25% on each of April 5, 2022, July 5, 2022, October 5, 2022, January 5, 2023, April 5, 2023, July 5, 2023, October 5, 2023, January 5, 2024, April 5, 2024, July 5, 2024, October 5, 2024 and January 5, 2025, subject to reporting person's continued employment with Issuer through each such date. /s/ Ralph C. Derrickson 2021-01-15