I doubt that most, in their wildest dreams, imagined that EDIG's market opportunity would exceed $20 Billion...and that's only about 5% of what we know to be a much larger pool of infringers.

Do you think that in 1988 and 1999, while the opportunity certainly was recognized, that the reality would be handheld products being sold on a global basis in the tens of billion dollars?

Flash memory certainly became the standard for all things portable and EDIG has patents in that sweet spot.

Imagine that, 8 years later,....AND YOU ARE HERE along with Duane Morris LLP, Pat Nunally and William Blakeley and company.

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Our company, then known as Norris Communications, was incorporated in the Province of British Columbia, Canada on February 11, 1988 and on November 22, 1994 changed its domicile to the Yukon Territory, Canada. On August 30, 1996, we filed articles of continuance to change our jurisdiction to the State of Wyoming, then on September 4, 1996, reincorporated in the State of Delaware. On
January 13, 1999, the stockholders approved a name change to e.Digital Corporation. Our principal executive offices and primary operating facilities are located at 13114 Evening Creek Drive South, San Diego, California 92128 and our telephone number is (858) 679-1504. Our Internet site is located at www.edig.com. Information contained in our Internet site is not part of this annual report.