EDEN PRAIRIE, Minn.--October 3, 2001--NVE Corporation (OTCBB: NVEC) announced it has signed an agreement with Agilent Technologies, Inc.

Under the agreement, Agilent gains non-exclusive rights to certain NVE technology, which Agilent will incorporate into future products. NVE will receive over $1 million in fees and advance payments in the first year of the agreement, as well as future payments based on sales of the Agilent products covered by the agreement.

"We're delighted with this agreement," commented NVE President and Chief Executive Officer Daniel A. Baker, Ph.D. "Agilent is a leading semiconductor supplier, and they have a superb distribution channel. The agreement gives us instant credibility, short-term working capital, and many millions of dollars in potential incremental revenues over the next several years."

"After rigorous testing, we were very impressed with NVE's technology," said Agilent Strategic Alliances Manager Jim Leising. "The technology will help Agilent continue to provide state-of-the-art products to our worldwide customer base."

"In addition to the technology we have licensed to Agilent, NVE has multiple licensees for our MRAM technology," added Baker. "MRAM technology licensees include Motorola, Inc. (NYSE: MOT), Honeywell International (NYSE: HON), and Union Semiconductor Technology Corporation (USTC), representing many millions of dollars in potential revenues."

NVE designs and manufactures sensor components and IsoLoop® isolators which revolutionize data acquisition and transfer. The company is also a leading developer of nonvolatile MRAM technology.

Statements made in this release concerning the Company's or management's intentions, expectations, or predictions about future results or events are "forward-looking statements" within the meaning of the Private Securities Reform Act of 1995. Such statements are necessarily subject to risks and uncertainties that could cause actual results to vary from stated expectations, and such variations could be material and adverse. Additional information concerning the factors that could cause actual results to differ materially from the Company's current expectations is contained in the Company's SEC filings.