New Capacities Range From 32 - 128 Megabytes

HANNOVER, Germany, Mar. 18, 2004 - SanDisk Corporation (NASDAQ: SNDK) announced today that it has added SanDisk Memory Stick PRO Duo cards to its original equipment manufacturer (OEM) product line. The cards will be sold in capacities that are ideal for OEMs to bundle with their consumer electronic devices. About one third the size of a standard Memory Stick, the Memory Stick PRO Duo cards feature high-speed data transfer, MagicGate™ security for the secure transfer of copyright-protected content and a write speed that allows for real-time recording of high-resolution images and video.

SanDisk Memory Stick PRO Duo cards for OEMs range from 32 megabyte (MB) to 128MB capacities and are manufactured by SanDisk. Higher capacity cards, up to 512MB, have already been introduced for the retail market to support aftermarket purchases. SanDisk is demonstrating the new cards at the CeBIT tradeshow in Hanover, Germany.

"SanDisk is the only company that offers a Memory Stick PRO Duo card in capacities lower than 256 MB," said Bo Ericsson, vice president of OEM product marketing at SanDisk. "OEMs can now benefit from having the latest generation Memory Stick technology in their low density PRO Duo cards included with their products. As the worldwide leading provider of flash storage card products, SanDisk also offers a full line of design tools and engineering support for the Memory Stick PRO Duo. SanDisk co-developed and co-owns the Memory Stick PRO Duo with Sony, and we believe that this introduction will be received enthusiastically by OEM customers that are designing consumer electronic devices that support the Memory Stick PRO format."

The new Memory Stick PRO Duo cards are targeted at the new generation of 2.5G and 3G mobile phones that require additional capacity for their storage-intensive features such as digital cameras, video capture and playback, digital audio players, games, and advanced messaging. The PRO Duo card is a major improvement from the standard Duo card with a guaranteed minimum performance based on the specification of the Memory Stick PRO Duo standard. Manufacturers can now include low capacity cards that will be optimized for their PRO Duo product."

SanDisk Memory Stick PRO Duo cards are available immediately. OEM capacities range from 32 megabyte (MB) to 128MB, with volume pricing ranging from $14 to $43.

SanDisk, the world's largest supplier of flash memory data storage card products, designs, manufactures and markets industry-standard, solid-state data, digital imaging and audio storage products using its patented, high density flash memory and controller technology. SanDisk is based in Sunnyvale, CA.

The matters discussed in this news release contain forward looking statements that are subject to certain risks and uncertainties as described under the caption, "Factors That May Affect Future Results" in the company's annual report on Form 10-K and quarterly reports on Form 10-Q, filed with the Securities and Exchange Commission. The companies assume no obligation to update the information in this release