Press Release March 19, 2004
NVE Corporation Provides MRAM Update

EDEN PRAIRIE, Minn.--March 19, 2004--NVE Corporation (NasdaqSC: NVEC) is providing the following update on the status of its MRAM partnerships.
   •   Cypress Semiconductor has made working MRAM using NVE intellectual property. Ralph Schmitt, Cypress Semiconductor's Executive Vice President of Sales and Marketing, said "we feel very confident that we are close to having a production-ready product." Under a technology exchange agreement, NVE has rights to Cypress Semiconductor's MRAM designs, rights to modify such designs, and rights to have MRAM manufactured at Cypress Semiconductor's foundry.
 
  •   Motorola, Inc. has said it expects to begin MRAM production by late 2004. NVE believes that the MRAMs Motorola has described publicly contain NVE's intellectual property. NVE expects to receive royalties if Motorola's production devices contain NVE's intellectual property.
 
  •   NVE plans to further monetize its MRAM intellectual property with additional license agreements.
 
For more information, NVE maintains Frequently Asked Questions in the investor section of its web site (www.nve.com).

MRAM is a revolutionary memory fabricated using nanotechnology which uses electron spin to encode 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 non-volatility of flash.

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, our dependence on Cypress for potential supply of MRAM devices, risks relating to making commercially viable MRAMs, 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.