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Flash Memory Summit Recognizes msystems™ x4™ Technology as the Most Innovative Flash Memory Technology of 2006


x4 technology developed in collaboration with Tel Aviv University

1ST ANNUAL FLASH MEMORY SUMMIT, SAN JOSE, Calif., Aug. 10, 2006, msystems (NASDAQ: FLSH), a leader in smart personal storage, today announced that its x4 NAND flash technology was recognized as the “Most Innovative Flash Memory Technology” of 2006 by a panel of industry experts at the Flash Memory Summit.

“We received such a significant number of quality entries covering a wide range of flash memory technologies that our judges had a challenging time selecting just one winner,” explained Jay Kramer, conference chairperson and head of the judging panel for the Best of Flash Memory Summit Awards. “The x4 NAND flash technology from msystems is truly a groundbreaking flash memory solution that exemplifies the most innovative technology at this inaugural Flash Memory Summit.”

msystems x4 technology was developed in collaboration with Tel Aviv University’s (TAU) School of Electrical Engineering and exclusively licensed to msystems, for use in flash memory products, by Ramot, the technology transfer company and commercialization arm of TAU.

“This award-winning x4 technology and other technological innovations show that investing in academic excellence can deliver commercial results,” said Professor Itamar Rabinovich, president of Tel Aviv University. “Our cooperation with industry leaders such as msystems ultimately benefits society at large.”

About Ramot at Tel Aviv University Ltd.
Ramot is the technology transfer company of Tel Aviv University (TAU). Ramot fosters, initiates, leads, and manages the transfer of new technologies from TAU laboratories to the marketplace, by performing all activities relating to the protection and commercialization of inventions and discoveries made by faculty, students and other researchers of TAU. Ramot provides a dynamic interface connecting industry to leading edge science and innovation, offering new business opportunities in a wide variety of emerging markets.

Founded in 1963, TAU is one of Israel’s foremost research and teaching universities. Located in Israel’s cultural, financial and industrial heartland, TAU is at the forefront of basic and applied research in a wide variety of scientific research disciplines.

About the Flash Memory Summit
The 1st Annual Flash Memory Summit is the only conference dedicated entirely to flash memory and its applications. The Summit features half-day tutorials, workshops, paper and panel sessions, keynotes, roundtables, special sessions, and exhibits. Subjects include hardware, software, design methods, consumer applications, embedded applications, computer and communications applications, alternative technologies, programming methods, testing, standards, and market research. For more information, visit

About msystems
msystems has been transforming raw flash material into smarter storage solutions since 1989. From embedded flash drives deployed in millions of mobile handsets to U3 USB smart drives designed for leading global brands, msystems creates, develops, manufactures and markets smart personal storage solutions for a myriad of applications targeting high growth markets.

More information is available online at msystems. made smarter.

Note to Editors: More information about msystems x4 Technology is available online at


All company and product names mentioned may be trademarks or registered trademarks of their respective holders and are used for identification purposes only.

This press release includes forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. Readers are cautioned not to place undue reliance on these forward-looking statements, as they are subject to various risks and uncertainties which may cause actual results to vary significantly. These risks include, but are not limited to: all risk associated with the development and implementation of x4 technology, including difficulties in utilization or implementation of 4-bit/cell NAND flash, , any failure we may experience in perfecting and/or protecting our intellectual property rights related to x4 technology, and the risk that flash manufacturers may opt to utilize such other technologies and not our x4 technology; the effect of global economic conditions in general and conditions in msystems’ industry and target markets in particular, shifts in supply and demand, market acceptance, the impact of competitive products and pricing, product development, commercialization and technological difficulties, and capacity and supply constraints including dependence on flash component suppliers; changes in msystems’ and its customers’ inventory levels and inventory valuations; timely product and technology development/upgrades and the ability to manage changes in market conditions as needed; market acceptance of new products and continuing product demand; the impact of competitive products and pricing on msystems’ and its customers’ products and markets; the development, release and sale of new products by strategic suppliers and customers; the development and growth of anticipated markets for msystems’ and its customers’ products; and other risk factors detailed from time to time in msystems’ filings with the Securities and Exchange Commission. msystems assumes no obligation to update the information in this press release and disclaims any obligation to publicly update or revise any such forward-looking statements to reflect any change in its expectations or in events, conditions, or circumstances on which any such statements may be based, or that may affect the likelihood that actual results will differ from those set forth in the forward-looking statements. Reference to msystems’ website above does not constitute incorporation of any of the information thereon into this press release.


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