A Leader in Digital Word-of-Mouth Marketing & Advertising

BLUE CALYPSO, INC. FILES PATENT INFRINGEMENT SUIT AGAINST LIVING SOCIAL

DALLAS—August 27, 2012 — Blue Calypso, Inc. (OTCBB:BCYP.OBNews), an innovator in digital word-of-mouth marketing, announced today that the company has filed a patent infringement complaint against Living Social (partly owned by Amazon (AMZN)) for infringement of Blue Calypso's United States Patent Nos. 7,664,516 and 8,155,679.

This is the second in a series of lawsuits Blue Calypso plans to file against companies infringing on their patents, the first one being against Groupon. The technology involved is used in Blue Calypso's state-of-the-art digital marketing platform that is at the core of the company's business. Both patents cover the system for peer-to-peer advertising created and developed by Blue Calypso.

"As a technology innovator, it is our duty to protect what we have created from illegitimate use," said Bill Ogle, CEO of Blue Calypso. "The current landscape for social engagement is growing and with that brings interest and need for the platform we developed and operate. It is our plan to monitor for infringing companies and ensure that our assets are protected now and into the future."

Representing Blue Calypso is the national intellectual property boutique firm of Farney Daniels, L.L.P. and Melissa Smith of Marshall, Texas' Gillam & Smith L.L.P.

"Blue Calypso is being proactive in protecting its intellectual property from infringing organizations. We are working hand-in-hand with the team there to ensure that the law does its job in this case," said Melissa Smith of Marshall Texas' Gillam & Smith L.L.P.

About Blue Calypso, Inc.

Blue Calypso is an innovator in digital word-of-mouth marketing and advertising. With Blue Calypso's patented engine, brands can harness the power of friend-to-friend referrals by empowering their advocates to share brand content with their unique social graph and rewarding sharing and engagement. Through robust, real-time analytics, brands can achieve a measurable ROI against their social media investment, acquire high-value customers and increase sales.

Forward Looking Statements

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