Exhibit 10.3


 


/$CurrentDate$/


 





 


PACIFIC BIOSCIENCES OF CALIFORNIA, INC.


2020 EQUITY INCENTIVE PLAN


GLOBAL RESTRICTED STOCK UNIT AGREEMENT


 


NOTICE OF RESTRICTED STOCK UNIT GRANT


 


Unless
otherwise defined herein, the terms defined in the Pacific Biosciences of California, Inc. 2020 Equity Incentive Plan (the “Plan”)
will have the same defined meanings in this Global Restricted Stock Unit Agreement which includes the Notice of Restricted Stock
Unit Grant (the “Notice of Grant”), the Terms and Conditions of Restricted Stock Unit Grant, attached hereto as Exhibit A,
and all other exhibits, appendices, and addenda attached hereto (the “Award Agreement”).


 


	Participant Name:	 	/$ParticipantName$/
	Address:	 	/$ParticipantAddress$/






 


The undersigned Participant
has been granted an Award of Restricted Stock Units, subject to the terms and conditions of the Plan and this Award Agreement, as follows:


 


	Type of Grant:	 	Restricted Stock
	 	 	 
	Grant ID:	 	/$GrantID$/
	 	 	 
	Date of Grant:	 	/$GrantDate$/
	 	 	 
	Vesting Commencement Date:	 	/$GrantDate$/
	 	 	 
	Total Number of Restricted Stock Units:	 	/$AwardsGranted$/




 


Vesting
Schedule:


 


Subject to any acceleration
provisions contained in the Plan or this Award Agreement or any other written agreement between Participant and the Company or any applicable
Subsidiary of the Company governing the terms of this Award, the Restricted Stock Units (the “RSUs”) will be scheduled to
vest in accordance with the following schedule:


 


[Twenty-five percent (25%)
of the Total Number of Restricted Stock Units will be scheduled to vest on each of the one (1), two (2), three (3) and four (4) year
anniversaries of the Vesting Commencement Date, subject to Participant continuing to be a Service Provider through such applicable vesting
dates.]


 


[Fifty percent (50%) of the
Total Number of Restricted Stock Units will be scheduled to vest on each of the one (1) and two (2) year anniversaries of the Vesting
Commencement Date, subject to Participant continuing to be a Service Provider through such applicable vesting dates.]


 






     


     


    

 


By
Participant’s signature and the signature of the representative of Pacific Biosciences of California, Inc. (the “Company”)
below, Participant and the Company agree that this Award of Restricted Stock Units is granted under and governed by the terms and conditions
of the Plan and this Award Agreement, including the Terms and Conditions of Restricted Stock Unit Grant, attached hereto as Exhibit A,
and all other exhibits, appendices and addenda attached hereto, all of which are made a part of this document. Participant acknowledges
receipt of a copy of the Plan. Participant has reviewed the Plan and this Award Agreement in their entirety, has had an opportunity to
obtain the advice of counsel prior to executing this Award Agreement and fully understands all provisions of the Plan and this Award Agreement.
Participant hereby agrees to accept as binding, conclusive and final all decisions or interpretations of the Administrator upon any questions
relating to the Plan and Award Agreement. Participant further agrees to notify the Company upon any change in the residence address indicated
below.


 


Accepted on /$CurrentDate$/


 


/$ParticipantName$/, residing at /$ParticipantAddress$/


 


 


PACIFIC BIOSCIENCES OF CALIFORNIA, INC.


1305 O’Brien Drive


Menlo Park, CA 94025


 





 






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EXHIBIT A


 


TERMS AND CONDITIONS OF RESTRICTED STOCK
UNIT GRANT


 


1.            Grant
of Restricted Stock Units. The Company hereby grants to the individual (“Participant”) named in the Notice of Grant of
Restricted Stock Units of this Award Agreement (the “Notice of Grant”) under the Plan an Award of Restricted Stock Units,
and subject to all of the terms and conditions of this Award Agreement, including any country-specific provisions set forth in Exhibit B,
and the Plan, which is incorporated herein by reference. Subject to Section 19(c) of the Plan, in the event of a conflict between
the terms and conditions of the Plan and this Award Agreement, including any country-specific provisions set forth in Exhibit B,
the terms and conditions of the Plan shall prevail.


 


2.            Company’s
Obligation to Pay. Each Restricted Stock Unit represents the right to receive a Share on the date it vests. Unless and until the Restricted
Stock Units will have vested in the manner set forth in Section 3 or 4, Participant will have no right to payment of any such Restricted
Stock Units. Prior to actual payment of any vested Restricted Stock Units, such Restricted Stock Unit will represent an unsecured obligation
of the Company, payable (if at all) only from the general assets of the Company.


 


3.            Vesting
Schedule. Except as provided in Section 4, and subject to Section 5, the Restricted Stock Units awarded by this Award Agreement
will vest in accordance with the vesting provisions set forth in the Notice of Grant. Unless specifically provided otherwise in this Award
Agreement or other written agreement between Participant and the Company or any applicable Subsidiary of the Company governing the terms
of this Award, Restricted Stock Units that are scheduled to vest on a certain date or upon the occurrence of a certain condition will
not vest in accordance with any of the provisions of this Award Agreement, unless Participant will have been continuously a Service Provider
from the Date of Grant through the applicable vesting date. The Administrator will have the exclusive discretion to determine when Participant
no longer is providing services for purposes of determining Service Provider status under this Award of Restricted Stock Units (including
without limitation whether Participant will be considered to be providing services while on a leave of absence).


 


4.            Payment
after Vesting.


 


(a)            General
Rule. Subject to Section 8, any Restricted Stock Units that vest will be paid to Participant (or in the event of Participant’s
death, to his or her properly designated beneficiary or estate) in whole Shares. Subject to the provisions of this Section 4, such
vested Restricted Stock Units shall be paid in whole Shares as soon as practicable after vesting, but in each such case within sixty (60)
days following the vesting date. In no event will Participant be permitted, directly or indirectly, to specify the taxable year of payment
of any Restricted Stock Units payable under this Award Agreement.


 


(b)            Acceleration.


 


(i)            Discretionary
Acceleration. The Administrator, in its discretion, may accelerate the vesting of the balance, or some lesser portion of the balance,
of the unvested Restricted Stock Units at any time, subject to the terms of the Plan. If so accelerated, such Restricted Stock Units will
be considered as having vested as of the date specified by the Administrator. If Participant is a U.S. taxpayer, the payment of Shares
vesting pursuant to this Section 4 in all cases shall be paid at a time or in a manner that is exempt from, or complies with, Section 409A.
The prior sentence may be superseded in a future agreement or amendment to this Award Agreement only by direct and specific reference
to such sentence.


 






     


     


    

 


(ii)            Notwithstanding
anything in the Plan or this Award Agreement or any other agreement (whether entered into before, on or after the Date of Grant) to the
contrary, if the vesting of the balance, or some lesser portion of the balance, of the Restricted Stock Units is accelerated in connection
with the cessation of Participant’s status as an Employee or other Service Provider (provided that such termination is a “separation
from service” within the meaning of Section 409A, as determined by the Company), other than due to Participant’s death,
and if (x) Participant is a U.S. taxpayer and a “specified employee” within the meaning of Section 409A at the time
of such termination as a Service Provider and (y) the payment of such accelerated Restricted Stock Units will result in the imposition
of additional tax under Section 409A if paid to Participant on or within the six (6) month period following the cessation of
Participant’s status as a Service Provider, then the payment of such accelerated Restricted Stock Units will not be made until the
date six (6) months and one (1) day following the date of cessation of such Participant’s status, unless Participant dies
following cessation of such Participant’s status, in which case, the Restricted Stock Units will be paid in Shares to Participant’s
estate as soon as practicable following his or her death.


 


(c)            Section 409A.
It is the intent of this Award Agreement that it and all payments and benefits to U.S. taxpayers hereunder be exempt from, or comply with,
the requirements of Section 409A so that none of the Restricted Stock Units provided under this Award Agreement or Shares issuable
thereunder will be subject to the additional tax imposed under Section 409A, and any ambiguities or ambiguous terms herein will be
interpreted to be so exempt or to so comply. Each payment payable under this Award Agreement is intended to constitute a separate payment
for purposes of Treasury Regulation Section 1.409A-2(b)(2). However, in no event will the Company or any of its Parents or Subsidiaries
have any liability, responsibility or obligation to reimburse, indemnify, or hold harmless Participant for any taxes, penalties and interest
that may be imposed, or other costs that may be incurred, as a result of Section 409A.


 


5.            Forfeiture
Upon Termination as a Service Provider. Unless specifically provided otherwise in this Award Agreement or other written agreement
between Participant and the Company or any of its Subsidiaries or Parents, as applicable, if Participant ceases to be a Service Provider
for any or no reason, the then-unvested Restricted Stock Units awarded by this Award Agreement will thereupon be forfeited at no cost
to the Company and Participant will have no further rights thereunder.


 


6.            Death
of Participant. Any distribution or delivery to be made to Participant under this Award Agreement, if Participant is then deceased,
will be made to Participant’s designated beneficiary (if applicable and to the extent the Administrator has permitted such beneficiary
designation with respect to this Award) or, absent a designated beneficiary or if no beneficiary survives Participant, the administrator
or executor of Participant’s estate. Any such transferee must furnish the Company with (a) written notice of his or her status
as transferee, and (b) evidence satisfactory to the Company to establish the validity of the transfer and compliance with any laws
or regulations pertaining to said transfer.


 






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7.            Tax
Obligations


 


(a)            Responsibility
for Taxes. Participant acknowledges that, regardless of any action taken by the Company or, if different, Participant’s employer
(the “Employer”) or any Parent or Subsidiary of the Company to which Participant is providing services (together, the “Service
Recipients”), the ultimate liability for any tax and/or social insurance liability obligations and requirements in connection with
the Restricted Stock Units, including, without limitation, (i) all federal, state, and local taxes (including Participant’s
Federal Insurance Contributions Act (FICA) obligations) that are required to be withheld by any Service Recipient or other payment of
tax-related items related to Participant’s participation in the Plan and legally applicable to Participant, (ii) Participant’s
and, to the extent required by any Service Recipient, the Service Recipient’s fringe benefit tax liability, if any, associated with
the grant, vesting, or settlement of the Restricted Stock Units or sale of Shares, and (iii) any other Service Recipient taxes the
responsibility for which Participant has, or has agreed to bear, with respect to the Restricted Stock Units (or settlement thereof or
issuance of Shares thereunder) (collectively, the “Tax Obligations”), is and remains Participant’s sole responsibility
and may exceed the amount actually withheld by the applicable Service Recipient(s). Participant further acknowledges that no Service Recipient
(A) makes any representations or undertakings regarding the treatment of any Tax Obligations in connection with any aspect of the
Restricted Stock Units, including, but not limited to, the grant, vesting or settlement of the Restricted Stock Units, the subsequent
sale of Shares acquired pursuant to such settlement and the receipt of any dividends or other distributions, and (B) makes any commitment
to and is under any obligation to structure the terms of the grant or any aspect of the Restricted Stock Units to reduce or eliminate
Participant’s liability for Tax Obligations or achieve any particular tax result.


 


(b)            Tax
Withholding. Pursuant to such procedures as the Administrator may specify from time to time, the Service Recipient shall withhold
the amount required to be withheld for the payment of Tax Obligations. The Administrator, in its sole discretion and pursuant to such
procedures as it may specify from time to time, may permit Participant to satisfy such Tax Obligations, in whole or in part (without limitation),
if permissible by applicable local law, by (i) paying cash in U.S. dollars, (ii) electing to have the Company withhold otherwise
deliverable Shares having a fair market value equal to the minimum amount that is necessary to meet the withholding requirement for such
Tax Obligations (or such greater amount as Participant may elect if permitted by the Administrator, if such greater amount would not result
in adverse financial accounting consequences), (iii) withholding the amount of such Tax Obligations from Participant’s wages
or other cash compensation paid to Participant by the applicable Service Recipient(s), (iv) delivering to the Company Shares that
Participant owns and that already have vested with a fair market value equal to the Tax Obligations (or such greater amount as Participant
may elect if permitted by the Administrator, if such greater amount would not result in adverse financial accounting consequences), (v) selling
a sufficient number of such Shares otherwise deliverable to Participant, through such means as the Company may determine in its sole discretion
(whether through a broker or otherwise) equal to the minimum amount that is necessary to meet the withholding requirement for such Tax
Obligations (or such greater amount as Participant may elect if permitted by the Administrator, if such greater amount would not result
in adverse financial accounting consequences), or (v) such other means as the Administrator deems appropriate. Further, if Participant
is subject to Tax Obligations in more than one jurisdiction between the Date of Grant and the date of any relevant taxable or tax withholding
event, as applicable, Participant acknowledges that the applicable Service Recipient(s) (or former employer, as applicable) may be
required to withhold or account for Tax Obligations in more than one jurisdiction. If the Tax Obligations are satisfied by withholding
in Shares, for tax purposes, Participant is deemed to have been issued the full number of Shares subject to the vested Restricted Stock
Units, notwithstanding that a number of the Shares are held back solely for the purpose of paying the Tax Obligations. If Participant
is an officer of the Company within the meaning of Section 16 of the Exchange Act, then the Company will withhold from proceeds of
the sale of a sufficient number of Shares otherwise deliverable to Participant to satisfy the Tax Obligations and any associated broker
or other fees upon the relevant taxable or tax withholding event, as applicable, and Participant agrees and acknowledges that Participant
may not satisfy them by any means other than such sale of Shares, unless required to do so by the Administrator. To the extent the
use of such withholding method is problematic under Applicable Laws or has materially adverse accounting consequences, then the Tax Obligations
may be satisfied by one or a combination of the methods specified under clauses (i), (ii), (iii) and (v) above.


 






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(c)            No
Representations. Participant has reviewed with his or her own tax advisers the U.S. federal, state, local and non-U.S. tax consequences
of this investment and the transactions contemplated by this Award Agreement. With respect to such matters, Participant relies solely
on such advisers and not on any statements or representations of the Company or any of its agents, written or oral. Participant understands
that Participant (and not the Company) shall be responsible for Participant’s own tax liability that may arise as a result of this
investment or the transactions contemplated by this Award Agreement.


 


(d)            Company’s
Obligation to Deliver Shares. For clarification purposes, in no event will the Company issue Participant any Shares unless and until
arrangements satisfactory to the Administrator have been made for the payment of Participant’s Tax Obligations. If Participant fails
to make satisfactory arrangements for the payment of such Tax Obligations hereunder at the time any applicable Restricted Stock Units
otherwise are scheduled to vest pursuant to Sections 3 or 4 or Participant’s Tax Obligations otherwise become due, Participant will
permanently forfeit such Restricted Stock Units to which Participant’s Tax Obligation relates and any right to receive Shares thereunder
and such Restricted Stock Units will be returned to the Company at no cost to the Company. Participant acknowledges and agrees that the
Company may refuse to issue or deliver the Shares if such Tax Obligations are not delivered at the time they are due.


 


8.            Rights
as Stockholder. Neither Participant nor any person claiming under or through Participant will have any of the rights or privileges
of a stockholder of the Company in respect of any Shares deliverable hereunder unless and until certificates representing such Shares
(which may be in book entry form) will have been issued, recorded on the records of the Company or its transfer agents or registrars,
and delivered to Participant (including through electronic delivery to a brokerage account). After such issuance, recordation and delivery,
Participant will have all the rights of a stockholder of the Company with respect to voting such Shares and receipt of dividends and distributions
on such Shares.


 


9.            No
Guarantee of Continued Service. PARTICIPANT ACKNOWLEDGES AND AGREES THAT THE VESTING OF THE RESTRICTED STOCK UNITS PURSUANT TO THE
VESTING SCHEDULE HEREOF IS EARNED ONLY BY CONTINUING AS A SERVICE PROVIDER, WHICH UNLESS PROVIDED OTHERWISE UNDER APPLICABLE LAW IS AT
THE WILL OF THE APPLICABLE SERVICE RECIPIENT AND NOT THROUGH THE ACT OF BEING HIRED, BEING GRANTED THIS RESTRICTED STOCK UNIT AWARD OR
ACQUIRING SHARES HEREUNDER. PARTICIPANT FURTHER ACKNOWLEDGES AND AGREES THAT THIS AWARD AGREEMENT, THE TRANSACTIONS CONTEMPLATED HEREUNDER
AND THE VESTING SCHEDULE SET FORTH HEREIN DO NOT CONSTITUTE AN EXPRESS OR IMPLIED PROMISE OF CONTINUED ENGAGEMENT AS A SERVICE PROVIDER
FOR THE VESTING PERIOD, FOR ANY PERIOD, OR AT ALL, AND SHALL NOT INTERFERE IN ANY WAY WITH PARTICIPANT’S RIGHT OR THE RIGHT OF ANY
SERVICE RECIPIENT TO TERMINATE PARTICIPANT’S RELATIONSHIP AS A SERVICE PROVIDER, SUBJECT TO APPLICABLE LAW, WHICH TERMINATION, UNLESS
PROVIDED OTHERWISE UNDER APPLICABLE LAW, MAY BE AT ANY TIME, WITH OR WITHOUT CAUSE.


 






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10.            Grant
is Not Transferable. Except to the limited extent provided in Section 7, this grant and the rights and privileges conferred hereby
will not be transferred, assigned, pledged or hypothecated in any way (whether by operation of law or otherwise) and will not be subject
to sale under execution, attachment or similar process. Upon any attempt to transfer, assign, pledge, hypothecate or otherwise dispose
of this grant, or any right or privilege conferred hereby, or upon any attempted sale under any execution, attachment or similar process,
this grant and the rights and privileges conferred hereby immediately will become null and void.


 


11.            Insider
Trading Restrictions/Market Abuses. Participant acknowledges that Participant may be subject to insider trading restrictions and/or
market abuse laws in applicable jurisdictions, including the United States and Participant’s country of residence, which may affect
Participant’s ability, directly or indirectly, for Participant or for a third party, to acquire or sell, or attempt to sell, Shares
or rights to Shares under the Plan during such times as Participant is considered to have “inside information” regarding the
Company (as defined by the laws in the applicable jurisdiction, including the United States and Participant’s country of residence).
Any restrictions under these laws or regulations are separate from and in addition to any restrictions that may be imposed under any applicable
Company insider trading policy. Participant acknowledges that it is Participant’s responsibility to be compliant with all such requirements
and Participant should consult Participant’s personal legal advisers to ensure compliance.


 


12.            Foreign
Asset/Account Reporting Requirements; Exchange Controls. Participant’s country may have certain foreign asset and/or account
reporting requirements and exchange controls which may affect Participant’s ability to acquire or hold Shares under the Plan or
cash received from participating in the Plan (including from any dividends received or sale proceeds arising from the sale of Shares)
in a brokerage or bank account outside Participant’s country. Participant understands that Participant may be required to report
such accounts, assets or transactions to the tax or other authorities in Participant’s country. Participant also may be required
to repatriate sale proceeds or other funds received as a result of participation in the Plan to Participant’s country through a
designated bank or broker and/or within a certain time after receipt. In addition, Participant may be subject to tax payment and/or reporting
obligations in connection with any income realized under the Plan and/or from the sale of Shares. Participant acknowledges that it is
Participant’s responsibility to be compliant with all such requirements, and that Participant should consult Participant’s
personal legal and tax advisers, as applicable, to ensure compliance.


 


13.            Nature
of Grant. In accepting this Award of Restricted Stock Units, Participant acknowledges, understands and agrees that:


 


(a)            the
grant of the Restricted Stock Units is voluntary and occasional and does not create any contractual or other right to receive future grants
of restricted stock units, or benefits in lieu of restricted stock units, even if restricted stock units have been granted in the past;


 






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(b)            all
decisions with respect to future restricted stock units or other grants, if any, will be at the sole discretion of the Administrator;


 


(c)            Participant
is voluntarily participating in the Plan;


 


(d)            the
Restricted Stock Units and the Shares subject to the Restricted Stock Units are not intended to replace any pension rights or compensation;


 


(e)            the
Restricted Stock Units and the Shares subject to the Restricted Stock Units, and the income and value of same, are not part of normal
or expected compensation for purposes of calculating any severance, resignation, termination, redundancy, dismissal, end-of-service payments,
bonuses, long-service awards, holiday pay, pension or retirement or welfare benefits or similar payments;


 


(f)            the
future value of the Shares underlying the Restricted Stock Units is unknown, indeterminable and cannot be predicted with certainty;


 


(g)            for
purposes of the Restricted Stock Units, Participant’s status as a Service Provider will be considered terminated as of the date
Participant is no longer actively providing services to the Company or any Parent or Subsidiary of the Company (regardless of the reason
for such termination and whether or not later found to be invalid or in breach of employment laws in the jurisdiction where Participant
is a Service Provider or the terms of Participant’s employment or service agreement, if any), and unless otherwise expressly provided
in this Award Agreement (including by reference in the Notice of Grant to other arrangements or contracts) or determined by the Administrator,
Participant’s right to vest in the Restricted Stock Units under the Plan, if any, will terminate as of such date and will not be
extended by any notice period (e.g., Participant’s period of service would not include any contractual notice period or any period
of “garden leave” or similar period mandated under employment laws in the jurisdiction where Participant is a Service Provider
or the terms of Participant’s employment or service agreement, if any, unless Participant is providing bona fide services during
such time); the Administrator shall have the exclusive discretion to determine when Participant is no longer actively providing services
for purposes of the Restricted Stock Units grant (including whether Participant may still be considered to be providing services while
on a leave of absence and consistent with local law);


 


(h)            unless
otherwise provided in the Plan or by the Administrator in its discretion, the Restricted Stock Units and the benefits evidenced by this
Award Agreement do not create any entitlement to have the Restricted Stock Units or any such benefits transferred to, or assumed by, another
company nor be exchanged, cashed out or substituted for, in connection with any corporate transaction affecting the Shares; and


 


(i)            the
following provisions apply only if Participant is providing services outside the United States:


 


(i)            the
Restricted Stock Units and the Shares subject to the Restricted Stock Units are not part of normal or expected compensation or salary
for any purpose;


 






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(ii)            Participant
acknowledges and agrees that no Service Recipient shall be liable for any foreign exchange rate fluctuation between Participant’s
local currency and the United States Dollar that may affect the value of the Restricted Stock Units or of any amounts due to Participant
pursuant to the settlement of the Restricted Stock Units or the subsequent sale of any Shares acquired upon settlement; and


 


(iii)            no
claim or entitlement to compensation or damages shall arise from forfeiture of the Restricted Stock Units resulting from the termination
of Participant’s status as a Service Provider (for any reason whatsoever whether or not later found to be invalid or in breach of
employment laws in the jurisdiction where Participant is a Service Provider or the terms of Participant’s employment or service
agreement, if any), and in consideration of the grant of the Restricted Stock Units to which Participant is otherwise not entitled, Participant
irrevocably agrees never to institute any claim against any Service Recipient, waives his or her ability, if any, to bring any such claim,
and releases each Service Recipient from any such claim; if, notwithstanding the foregoing, any such claim is allowed by a court of competent
jurisdiction, then, by participating in the Plan, Participant shall be deemed irrevocably to have agreed not to pursue such claim and
agrees to execute any and all documents necessary to request dismissal or withdrawal of such claim.


 


14.            No
Advice Regarding Grant. The Company is not providing any tax, legal or financial advice, nor is the Company making any recommendations
regarding Participant’s participation in the Plan, or Participant’s acquisition or sale of the Shares underlying the Restricted
Stock Units. Participant is hereby advised to consult with his or her own personal tax, legal and financial advisers regarding his or
her participation in the Plan before taking any action related to the Plan.


 


15.            Data
Privacy. Participant hereby explicitly and unambiguously consents to the collection, use and transfer, in electronic or other form,
of Participant’s personal data as described in this Award Agreement and any other Restricted Stock Unit grant materials by and among,
as applicable, the Service Recipients for the exclusive purpose of implementing, administering and managing Participant’s participation
in the Plan.


 


Participant understands
that the Company and the Service Recipient may hold certain personal information about Participant, including, but not limited to, Participant’s
name, home address, email address and telephone number, date of birth, social insurance number, passport or other identification number
(e.g., resident registration number), salary, nationality, job title, any Shares or directorships held in the Company, details of all
equity awards or any other entitlement to Shares awarded, canceled, exercised, vested, unvested or outstanding in Participant’s
favor (“Data”), for the exclusive purpose of implementing, administering and managing the Plan.


 


Participant understands
that Data may be transferred to a stock plan service provider, as may be selected by the Company in the future, assisting the Company
with the implementation, administration and management of the Plan. Participant understands that the recipients of the Data may be located
in the United States or elsewhere, and that the recipients’ country of operation (e.g., the United States) may have different data
privacy laws and protections than Participant’s country. Participant understands that if he or she resides outside the United States,
he or she may request a list with the names and addresses of any potential recipients of the Data by contacting his or her local human
resources representative. Participant authorizes the Company, any stock plan service provider selected by the Company and any other possible
recipients which may assist the Company (presently or in the future) with implementing, administering and managing the Plan to receive,
possess, use, retain and transfer the Data, in electronic or other form, for the sole purpose of implementing, administering and managing
his or her participation in the Plan. Participant understands that Data will be held only as long as is necessary to implement, administer
and manage Participant’s participation in the Plan. Participant understands if he or she resides outside the United States, he or
she may, at any time, view Data, request additional information about the storage and processing of Data, require any necessary amendments
to Data or refuse or withdraw the consents herein, in any case without cost, by contacting in writing his or her local human resources
representative. Further, Participant understands that he or she is providing the consents herein on a purely voluntary basis. If Participant
does not consent, or if Participant later seeks to revoke his or her consent, his or her status as a Service Provider and career with
the Service Recipient will not be adversely affected. The only adverse consequence of refusing or withdrawing Participant’s consent
is that the Company would not be able to grant Participant Restricted Stock Units or other equity awards or administer or maintain such
awards. Therefore, Participant understands that refusing or withdrawing his or her consent may affect Participant’s ability to participate
in the Plan. For more information on the consequences of Participant’s refusal to consent or withdrawal of consent, Participant
understands that he or she may contact his or her local human resources representative.


 






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16.            Address
for Notices. Any notice to be given to the Company under the terms of this Award Agreement will be addressed to the Company, in care
of its Chief Financial Officer at Pacific Biosciences of California, Inc., 1305 O’Brien Drive, Menlo Park, CA 94025, U.S.A.,
or at such other address as the Company may hereafter designate in writing.


 


17.            Electronic
Delivery and Acceptance. The Company may, in its sole discretion, decide to deliver any documents related to the Restricted Stock
Units awarded under the Plan or future Restricted Stock Units that may be awarded under the Plan by electronic means or require Participant
to participate in the Plan by electronic means. Participant hereby consents to receive such documents by electronic delivery and agrees
to participate in the Plan through any on-line or electronic system established and maintained by the Company or a third party designated
by the Company.


 


18.            No
Waiver. Either party’s failure to enforce any provision or provisions of this Award Agreement shall not in any way be construed
as a waiver of any such provision or provisions, nor prevent that party from thereafter enforcing each and every other provision of this
Award Agreement. The rights granted both parties herein are cumulative and shall not constitute a waiver of either party’s right
to assert all other legal remedies available to it under the circumstances.


 


19.            Successors
and Assigns. The Company may assign any of its rights under this Award Agreement to single or multiple assignees, and this Award Agreement
shall inure to the benefit of the successors and assigns of the Company. Subject to the restrictions on transfer herein set forth, this
Award Agreement shall be binding upon Participant and his or her heirs, executors, administrators, successors and assigns. The rights
and obligations of Participant under this Award Agreement may be assigned only with the prior written consent of the Company. Subject
to the limitation on transferability of this Award contained herein, this Award Agreement will be binding upon and inure to the benefit
of the heirs, legatees, legal representatives, successors and assigns of the parties hereto.


 






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20.            Additional
Conditions to Issuance of Stock. If at any time the Company will determine, in its discretion, that the listing, registration, qualification
or rule compliance of the Shares upon any securities exchange or under any U.S. federal, state, local or non-U.S. law, the tax code
and related regulations or under the rulings or regulations of the United States Securities and Exchange Commission or any other governmental
regulatory body or the clearance, consent or approval of the United States Securities and Exchange Commission or any other governmental
regulatory authority is necessary or desirable as a condition to the issuance of Shares to Participant (or his or her estate) hereunder,
such issuance will not occur unless and until such listing, registration, qualification, rule compliance, clearance, consent or approval
will have been completed, effected or obtained free of any conditions not acceptable to the Company. Subject to the terms of the Award
Agreement and the Plan, the Company shall not be required to issue any certificate or certificates for (or make any entry on the books
of the Company or of a duly authorized transfer agent of the Company of) the Shares hereunder prior to the lapse of such reasonable period
of time following the date of vesting of the Restricted Stock Units as the Administrator may establish from time to time for reasons of
administrative convenience. The Company will make all reasonable efforts to meet the requirements of any such Applicable Laws and to obtain
any such registration, qualification, rule compliance, clearance, consent or approval of any such governmental regulatory authority.


 


21.            Language.
If Participant has received this Award Agreement or any other document related to the Plan translated into a language other than English
and if the meaning of the translated version is different than the English version, the English version will control.


 


22.            Interpretation.
The Administrator will have the power to interpret the Plan and this Award Agreement and to adopt such rules for the administration,
interpretation and application of the Plan as are consistent therewith and to interpret or revoke any such rules (including, but
not limited to, the determination of whether or not any Restricted Stock Units have vested). All actions taken and all interpretations
and determinations made by the Administrator in good faith will be final and binding upon Participant, the Company and all other interested
persons. Neither the Administrator nor any person acting on behalf of the Administrator will be personally liable for any action, determination
or interpretation made in good faith with respect to the Plan or this Award Agreement.


 


23.            Captions.
Captions provided herein are for convenience only and are not to serve as a basis for interpretation or construction of this Award Agreement.


 


24.            Amendment,
Suspension or Termination of the Plan. By accepting this Award, Participant expressly warrants that he or she has received an Award
of Restricted Stock Units under the Plan, and has received, read and understood a description of the Plan. Participant understands that
the Plan is discretionary in nature and may be amended, suspended or terminated by the Administrator at any time.


 


25.            Modifications
to the Award Agreement. This Award Agreement constitutes the entire understanding of the parties on the subjects covered. Participant
expressly warrants that he or she is not accepting this Award Agreement in reliance on any promises, representations, or inducements other
than those contained herein. Modifications to this Award Agreement or the Plan can be made only in an express written contract executed
by a duly authorized officer of the Company. Notwithstanding anything to the contrary in the Plan or this Award Agreement, the Company
reserves the right to revise this Award Agreement as it deems necessary or advisable, in its sole discretion and without the consent of
Participant, to comply with Section 409A or to otherwise avoid imposition of any additional tax or income recognition under Section 409A
in connection with this Award of Restricted Stock Units. Further, the Company reserves the right to impose other requirements on Participant’s
participation in the Plan, on this Award of Restricted Stock Units and on any Shares acquired under the Plan, to the extent the Company
determines it is necessary or advisable for legal or administrative reasons, and to require Participant to execute any additional agreements
or undertakings that may be necessary to accomplish the foregoing.


 






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26.            Governing
Law; Venue; Severability. This Award Agreement and the Restricted Stock Units are governed by the internal substantive laws, but not
the choice of law rules, of the State of California. For purposes of litigating any dispute that arises under these Restricted Stock Units
or this Award Agreement, the parties hereby submit to and consent to the jurisdiction of the State of California, and agree that such
litigation will be conducted in the courts of San Mateo County, California, or the United States federal courts for the Northern District
of California, and no other courts, where this Award Agreement is made and/or to be performed. In the event that any provision of this
Award Agreement, including the country-specific provisions set forth in an attachment to this Award Agreement (if any), will be held invalid
or unenforceable, such provision will be severable from, and such invalidity or unenforceability will not be construed to have any effect
on, the remaining provisions of this Award Agreement.


 


27.            Entire
Agreement. The Plan is incorporated herein by this reference. The Plan and this Award Agreement (including the appendices and exhibits
referenced herein) constitute the entire agreement of the parties with respect to the subject matter hereof and supersede in their entirety
all prior undertakings and agreements of the Company and Participant with respect to the subject matter hereof, and may not be modified
adversely to the Participant’s interest except by means of a writing signed by the Company and Participant.


 


28.            Country
Addendum. The Restricted Stock Unit grant shall be subject to any special terms and conditions set forth in an exhibit, appendix,
addendum or other attachment (if any) to this Award Agreement for any country whose laws are applicable to Participant and this Award
of Restricted Stock Units (as determined by the Administrator in its sole discretion) (the “Country Addendum”). Moreover,
if Participant relocates to one of the countries included in the Country Addendum (if any), the special terms and conditions for such
country will apply to Participant, to the extent the Company determines that the application of such terms and conditions is necessary
or advisable for legal or administrative reasons. The Country Addendum constitutes part of this Award Agreement.


 


*          *          *


 






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EXHIBIT B


 


GLOBAL RESTRICTED STOCK UNIT AGREEMENT


 


COUNTRY ADDENDUM


 


This Country Addendum includes additional terms
and conditions that govern the Award of Restricted Stock Units granted pursuant to the terms and conditions of the Pacific Biosciences
of California, Inc. 2020 Equity Incentive Plan (the “Plan”) and the Global Restricted Stock Unit Agreement to which this
Country Addendum is attached (the “Award Agreement”) to the extent the individual to whom the Restricted Stock Units were
granted (“Participant”) resides in one of the countries listed below. Capitalized terms used but not defined herein will have
the meanings set forth in the Award Agreement or the Plan, as applicable.


 


This Country Addendum also includes information
regarding exchange controls and certain other issues of which Participant should be aware with respect to Participant’s participation
in the Plan. The information is based on the securities, exchange control and other laws in effect in the respective countries as of August,
2020. Such laws often are complex and change frequently. As a result, the Company strongly recommends that Participant not rely on the
information in this Country Addendum as the only source of information relating to the consequences of Participant’s participation
in the Plan because the information may be out of date at the time Participant vest in or receives or sells the Shares covered by the
Restricted Stock Units.


 


In addition, the information contained herein
is general in nature and may not apply to Participant’s particular situation and the Company is not in a position to assure Participant
of any particular result. Accordingly, Participant is advised to seek appropriate professional advice as to how the relevant laws of Participant’s
country may apply to Participant’s situation.


 


Finally, if Participant is a citizen or resident
of a country other than the one in which Participant currently is working or transfers to another country after the grant of the Restricted
Stock Units, or is considered a resident of another country for local law purposes, the information contained herein may not be applicable
to Participant in the same manner. In addition, the Company, in its sole discretion, shall determine the extent to which the terms and
conditions contained herein shall apply to Participant under these circumstances.


 


[ Australia


 


Notifications


 


Tax
Information. The Plan is a plan to which Subdivision 83A-C of the Income Tax Assessment Act 1997 (Cth) applies
(subject to the conditions in that Act).


 






     


     


    

 


Canada


 


Terms and Conditions


 


Company’s
Obligation to Pay. This provision supplements Section 2 of the Award Agreement:


 


Notwithstanding any discretion set out in Section 8(d) of
the Plan, vested Restricted Stock Units will be paid in Shares and not in cash or a combination of Shares and cash.


 


Nature
of Grant. This provision replaces Section 13(g) of the Award Agreement:


 


For
purposes of the Award of Restricted Stock Units, Participant’s employment or service relationship will be considered terminated
as of the date that is the earlier of: (i) the date Participant’s employment is terminated, (ii) the date Participant
receives notice of termination, and (iii) the date Participant is no longer actively providing services to the Company or any Parent
or Subsidiary of the Company (regardless of the reason for such termination and whether or not later found to be invalid or in breach
of employment laws in the jurisdiction where Participant is employed or the terms of Participant’s employment agreement,
if any) and, unless otherwise expressly provided in this Award Agreement or determined by the Company, Participant’s right to vest
in the Restricted Stock Units will terminate as of such date and will not be extended by any notice period (e.g., Participant’s
period of service would not include any contractual notice period or any period of “garden leave” or similar period mandated
under employment laws in the jurisdiction where Participant is employed or the terms of Participant’s employment agreement, if any).


 


The following provisions will apply to Participant
if he or she is a resident of Quebec:


 


Language
Consent. The parties acknowledge that it is their express wish that the Award Agreement, including this Exhibit B,
as well as all documents, notices, and legal proceedings entered into, given or instituted pursuant hereto or relating directly or indirectly
hereto, be drawn up in English.


 


Consentement
Relatif à la Langue Utilisée.  Les parties reconnaissent avoir expressément
souhaité que la convention («Award Agreement») ainsi que cette Annexe B, ainsi que tous les documents, avis et
procédures judiciares, éxécutés, donnés ou intentés en vertu de, ou liés directement
ou indirectement à la présente convention, soient rédigés en langue anglaise.


 


Data
Privacy. This provision supplements Section 15 of the Award Agreement:


 


Participant hereby authorizes the Company and
the Company’s representatives to discuss with and obtain all relevant information from all personnel, professional or not, involved
in the administration and operation of the Plan. Participant further authorizes the Company and the Company’s Parent or Subsidiary
employing or retaining Participant to disclose and discuss Participant’s participation in the Plan with their respective advisers.
Participant further authorizes the Company and the Company’s Parent or Subsidiary employing or retaining Participant to record such
information and to keep such information in Participant’s employee file.


 


Notifications


 


Securities
Law Information. Participant understands that Participant is permitted to sell Shares acquired pursuant to the Plan through
the designated broker appointed under the Plan, if any, provided the sale of the Shares acquired pursuant to the Plan takes place outside
of Canada through the facilities of a stock exchange on which the Shares are listed. The Company’s common stock are currently traded
on the NASDAQ Global Select Market, which is located outside of Canada, under the ticker symbol “PACB” and Shares acquired
under the Plan may be sold through this exchange.


 






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Foreign
Asset/Account Reporting Information. Foreign specified property, including Shares and rights to Shares (e.g., Restricted
Stock Units), held by a Canadian resident must be reported annually on Form T1135 (Foreign Income Verification Statement) if the
total cost of such foreign specified property exceeds C$100,000 at any time during the year. If applicable, Form T1135 is due by
April 30th of the following year. Restricted Stock Units must be reported – generally at a nil cost – if the C$100,000
cost threshold is exceeded because of other foreign specified property held by Participant. When Shares are acquired, their cost generally
is the adjusted cost base (“ACB”) of the Shares. The ACB would ordinarily equal the fair market value of the Shares at the
time of acquisition, but if other Shares are owned, this ACB may have to be averaged with the ACB of the other Shares. Participant
is responsible for ensuring his or her compliance with any applicable reporting obligations and should speak to his or her personal legal
adviser on this matter.


 


France


 


Terms and Conditions


 


Type
of Restricted Stock Units. The Restricted Stock Units are not intended to qualify for specific tax or social security
treatment in France.


 


Language
Consent. By accepting the Award Agreement providing for the terms and conditions of the grant, Participant confirms
having read and understood the documents relating to this grant (the Plan and this Award Agreement) which were provided in English language.  Participant
accepts the terms of those documents accordingly.


 


Consentement
Relatif à la Langue Utilisée. En acceptant le Contrat d'Attribution décrivant
les termes et conditions de l’attribution, le Participant confirme avoir lu et compris les documents relatifs à cette attribution
(le Plan et ce Contrat d'Attribution) qui ont été communiqués en langue anglaise.  Le Participant accepte
les termes de ces documents en connaissance de cause.


 


Notifications


 


Foreign
Asset/Account Reporting Information. Participant may hold Shares acquired under the Plan outside of France provided Participant
annually declares all foreign bank and stock accounts, whether open, current, or closed, together with Participant’s personal income
tax returns.


 


Germany


 


Notifications


 


Exchange
Control Information.


 


Cross-border payments in excess of €12,500
must be reported electronically, on a monthly basis, to the Servicezentrum Außenwirtschaftsstatistik, which is the competent
federal office of the Deutsche Bundesbank (the German Central Bank) for such notifications in Germany. The Allgemeinesc
Meldeportal Statistik (General Statistics Reporting Portal) can be accessed at www.bundesbank.de.


 






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Japan


 


Notifications


 


Foreign
Asset / Account Reporting Information. Participant will be required to report details of any assets held outside of Japan as
of December 31st to the extent such assets have a total net fair market value exceeding ¥50,000,000. Such report will be due
by March 15th each year. Participant should consult with his or her personal tax adviser as to whether the reporting obligation
applies to him or her and whether the requirement extends to any outstanding Restricted Stock Units, Shares and/or cash acquired under
the Plan.


 


Netherlands


 


There are no country-specific provisions.


 


Singapore


 


Notifications


 


Securities
Law Information. The Award of Restricted Stock Units under the Plan is being made pursuant to the “Qualifying
Person” exemption under section 273(1)(f) of the Securities and Futures Act (Chapter 289, 2006 Ed.) (“SFA”).
The Plan has not been lodged or registered as a prospectus with the Monetary Authority of Singapore. Participant should note that the
Restricted Stock Units are subject to section 257 of the SFA and the Participant should not make (i) any subsequent sale of
the Shares in Singapore or (ii) any offer of such subsequent sale of the Shares subject to the Restricted Stock Units in Singapore,
unless such sale or offer is made more than six (6) months after the Date of Grant or pursuant to the exemptions under Part XIII
Division 1 Subdivision (4) (other than section 280) of the SFA. The Company’s common stock is traded on the Nasdaq Global
Select Market, which is located outside of Singapore, under the ticker symbol “PACB” and Shares acquired under the Plan may
be sold through this exchange.


 


CEO
and Director Notification Information. If Participant is the Chief Executive Officer (“CEO”) or a director,
associate director or shadow director of a Singaporean Parent
or Subsidiary, Participant is subject to certain notification requirements under the Singapore Companies Act.  Among these requirements
is an obligation to notify the Singaporean Parent or Subsidiary in writing when Participant receives an interest in the Company (e.g.,
Restricted Stock Units or Shares).  In addition, Participant must notify the Singaporean Parent or Subsidiary when Participant
disposes of an interest in the Company (including when Participant sells Shares acquired at vesting of the Restricted Stock Units). These
notifications must be made within two (2) business days of (i) acquiring or disposing of any interest in the Company, (ii) any
change in a previously-disclosed interest (e.g., upon vesting of the Restricted Stock Units or when Shares acquired under the Plan
are subsequently sold), or (iii) becoming the CEO or a director, associate director or shadow director if such an interest exists
at such time.


 






     -4-


     


    

 


Switzerland


 


Notifications


 


Securities
Law Information. The Award of Restricted Stock Units under the Plan is considered a private offering in Switzerland
and is therefore not subject to registration in Switzerland. Neither this document nor any other materials relating to the Restricted
Stock Units constitutes a prospectus as such term is understood pursuant to article 652a of the Swiss Code of Obligations, and neither
this document nor any other materials relating to the Restricted Stock Units may be publicly distributed nor otherwise made publicly available
in Switzerland.  Neither this document nor any other offering or marketing material relating to the Restricted Stock Units has
been filed with, approved, or supervised by any Swiss regulatory authority (in particular, the Swiss Financial Market Supervisory Authority
(FINMA)).


 


Taiwan


 


Notifications


 


Securities
Law Information. The Award of Restricted Stock Units and the Shares to be issued upon vesting of the Restricted
Stock Units is available only for employees of the Company and any Parent or Subsidiary.  It is not a public offer of securities
by a Taiwanese company; therefore, it is exempt from registration in Taiwan.


 


Exchange
Control Information. Participant may acquire and remit foreign currency (including funds for the purchase of Shares
and proceeds from the sale of Shares) up to US$5,000,000 per year without justification. If the transaction amount is TWD500,000 or more
in a single transaction, Participant must submit a Foreign Exchange Transaction Form.  If the transaction amount is US$500,000
or more in a single transaction, Participant must also provide supporting documentation to the satisfaction of the remitting bank.


 


United Kingdom


 


Terms and Conditions


 


Taxes.  The
following provision supplements Section 7 of the Award Agreement:


 


Without limitation to Section 7 of the Award
Agreement, Participant agrees that Participant is liable for all Tax-Related Items and hereby covenants to pay all such Tax-Related Items,
as and when requested by the Company or the Parent or Subsidiary employing or retaining Participant or by Her Majesty's Revenue and Customs
(“HMRC”) (or any other tax authority or any other relevant authority).  Participant also agrees to indemnify
and keep indemnified the Company and the Company’s Parent or Subsidiary employing or retaining Participant against any
Tax–Related Items that they are required to pay or withhold or have paid or will pay to HMRC (or any other tax authority or any
other relevant authority) on Participant’s behalf.]


 


*          *          *


 






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