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COURT RULES IN FAVOR OF e.DIGITAL

Reports Favorable Claim Construction Ruling


(SAN DIEGO, CA, – February 23, 2015) – e.Digital Corporation (OTCQB: EDIG), a long standing source of innovation and future-defining patented technologies, announced today that the United States District Court for the Southern District of California ruled favorably on all points addressed in a Markman hearing on the Company’s US Patent No. 5,839,108 (“the ‘108 patent”) held on February 19, 2015. The ’108 patent relates to the way modern day flash memory devices store and manage data and is an important part of e.Digital’s Flash-R™ patent portfolio.

A Markman hearing is an important pre-trial event in a patent lawsuit wherein the Court analyzes and construes the meaning of disputed patent claim terms after consideration of each party’s evidence. A favorable claim construction determination is very important in establishing infringement of an asserted patent. The Company and Micron Technology, Inc., each presented evidence addressing the proper construction of six disputed claim terms in the ‘108 patent. The Court was also asked to determine if the preamble from Claim 1 of the ‘108 patent was limiting. After consideration of each party’s evidence, the Court issued its claim construction order last Friday, ruling in e.Digital’s favor on the contested claim terms, and also finding that the preamble was not limiting.

“We believe this process has further vindicated our efforts to enforce infringement of our patents,” said Fred Falk, president and CEO of e.Digital. “For the second time in as many months, our counsel, Handal & Associates, strengthened our litigation position by prevailing in the construction of claim terms of our ‘108 patent. We believe that this and other recent favorable rulings will encourage license and settlement by those who might use our technologies without our approval,” added Falk.

“We have also developed and own other key intellectual properties in the security space and we are continuing research given the high profile need for reliable digital security technologies. We plan to continue to develop and monetize, through licensing and aggressive patent enforcement, our ground-breaking innovations,” concluded Falk.