EDEN PRAIRIE, Minn.--August 17, 2004--NVE Corporation (NasdaqSC: NVEC) announced that it has been notified by the U. S. Patent and Trademark Office of the expected grant of a key MRAM patent. NVE has been notified that the patent, entitled "Antiparallel Magnetoresistive Memory Cells," will be issued today. The patent is number 6,777,730 and is the grant of the application published by the U. S. Patent and Trademark Office under number 20030048676.

The patent covers data storage and retrieval in switchable synthetic antiferromagnet memory cells based on an antiparallel "sandwich" structure. The invention improves cell stability, reducing the tendency of neighboring bits to be disturbed in an MRAM array.

MRAM (Magnetic Random Access Memory) is a revolutionary memory fabricated using nanotechnology which uses electron spins to store data. MRAM has been called the "holy grail" of memory because it has the potential to combine the speed of SRAM, the density of DRAM, and the nonvolatility of Flash.

"This is a key patent," commented NVE Founder and Chief Technology Officer James M. Daughton, Ph.D. "It applies to some current MRAM designs and strengthens our MRAM intellectual property portfolio."

Links to NVE's patents can be found at the "company information" section of NVE's Web site (www.nve.com).

NVE is a leader in the practical commercialization of spintronics, a nanotechnology which many experts believe represents the next generation of microelectronics. NVE licenses its MRAM intellectual property and sells spintronic products including sensors and couplers to revolutionize data sensing and transmission.

Statements used in this press release that relate to future plans, events, financial results or performance are forward-looking statements that are subject to certain risks and uncertainties including, among others, such factors as uncertainties relating to MRAM production by our licensees, risks relating to making commercially viable MRAMs, risks in the enforcement of our patents, as well as the risk factors listed from time to time in the company's filings with the SEC, including our Annual Report on Form 10-KSB and other reports filed with the SEC.