FOR IMMEDIATE RELEASE

M-Systems Introduces the First Customizable Application for the DiskOnKey=AE

New MyKey Application Allows Users to Personalize Their Device

FREMONT, Calif., Sept. 26, 2002 - M-Systems (Nasdaq: FLSH), a leader in
flash-based data storage products, today announced the first personalized
application for the device called MyKey. Based on the DiskOnKey Technology
platform and designed with M-Systems' new software developer's kit (SDK),
the application allows users to personalize the DiskOnKey offering a quick
and recognizable method to access information stored on the device.

"As the portable storage industry continues to expand, personalization will
be the key to differentiating the device," said Blaine Phelps, worldwide
marketing manager for M-Systems' DiskOnKey Division. "Our market research
has demonstrated that users view the DiskOnKey as more of a personal device
than a storage medium. We have built upon this concept by offering MyKey,
the first personalized application within the keychain storage category
allowing users to make the device special to them."

MyKey allows users to easily access information stored on the DiskOnKey
through a portal that resides on the desktop. The MyKey control panel can
be named by the user, set with unique sounds and customized with icons
including the DiskOnKey kangaroo. The application initiates once the device
is plugged into the USB port and greets the user with the preset sound
offering a recognizable method to access information stored on the device.
MyKey allows the synchronization between the computer and the DiskOnKey and
also increases the functionality of the DiskOnKey allowing users to access
information between the KeySafe secure area and shared storage space
quickly and easily. A portion of the portal also shows the amount of memory
space used and available for easy reference.
"The vision for the DiskOnKey is becoming a reality. With our new SDK,
MyKey is our first application for the device and users can expect more
functionality as the device becomes widely accepted through multiple
markets," continued Phelps.

The DiskOnKey has undergone rigorous testing for reliability and
durability, securing certification by Microsoft's Windows Hardware Quality
Testing Lab (WHQL), as well as being the only product in the category
approved to carry the certified-USB logo set by the USB Implementers Forum.
The DiskOnKey also provides the widest flexibility of use by offering
access to the most operating systems including Win 98, 2000, ME, NT, XP, CE
4.0, Mac OS 8.6, 9+, 10+, and Linux 2.4.1. The entire DiskOnKey line of
devices offers unsurpassed computing power employing the latest DiskOnKey
technology with the assurance of award-winning quality and reliability.

M-Systems' MyKey Availability
The M-Systems MyKey personalization application can be downloaded for free
from the DiskOnKey website at www.diskonkey.com.

Availability of M-Systems' SDK
M-Systems has designed a software developer's kit allowing engineers to
create applications designed for the DiskOnKey. Currently, the SDK will be
available to select partners and software development companies. To request
the SDK, please contact M-Systems at sdk@diskonkey.com.

About M-Systems
M-Systems (Nasdaq: FLSH) is a leader and innovator of flash-based data
storage products known as flash disks. M-Systems' flash disks provide the
functionality of a mechanical hard drive in a silicon chip. M-Systems'
products are based on its patented TrueFFS=AE technology and target
applications in a vast array of markets, including connected devices,
mobile and telecom. M-Systems' products include the DiskOnChip=AE, DiskOnKey=
=AE
and Fast Flash Disk (FFDTM) product families. For more information, please
contact M-Systems at http://www.m-sys.com.