msystems(TM) to Take Part in CARTES 2006

msystems (NASDAQ:FLSH), a leader in smart personal storage, announced today that the Company will be exhibiting at CARTES 2006, the world’s leading event for smart cards and identification, taking place 7-9 November in Paris, France. From booth #4K 026 located within the Paris-Nord Villepinte Exhibition Center, msystems executives will be on hand to present the Company’s latest products and technological achievements. Representatives from the Company will also be available to demonstrate a new 2-factor authentication product and new applications running on msystems’ new, 1-gigabyte mSIM MegaSIM cards and to discuss msystems’ involvement in the industry. More information about the conference is available online at www.cartes.com/en/2006/index.htm. About msystems msystems has been transforming raw flash material into smarter storage solutions since 1989. From embedded flash drives deployed in millions of mobile handsets to U3™ USB smart drives designed for leading global brands, msystems creates, develops, manufactures and markets smart personal storage solutions for a myriad of applications targeting high growth markets. More information is available online at www.msystems.com. msystems. made smarter. ### All company and product names mentioned may be trademarks or registered trademarks of their respective holders and are used for identification purposes only. This press release includes forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. Readers are cautioned not to place undue reliance on these forward-looking statements, as they are subject to various risks and uncertainties which may cause actual results to vary significantly. These risks include, but are not limited to: the effect of global economic conditions in general and conditions in msystems’ industry and target markets in particular, shifts in supply and demand, market acceptance, the impact of competitive products and pricing, product development, commercialization and technological difficulties, and capacity and supply constraints including dependence on flash component suppliers; changes in msystems’ and its customers’ inventory levels and inventory valuations; timely product and technology development/upgrades and the ability to manage changes in market conditions as needed; market acceptance of new products and continuing product demand; the impact of competitive products and pricing on msystems’ and its customers’ products and markets; the development, release and sale of new products by strategic suppliers and customers; the development and growth of anticipated markets for msystems’ and its customers’ products; and other risk factors detailed from time to time in msystems’ filings with the Securities and Exchange Commission. msystems assumes no obligation to update the information in this press release and disclaims any obligation to publicly update or revise any such forward-looking statements to reflect any change in its expectations or in events, conditions, or circumstances on which any such statements may be based, or that may affect the likelihood that actual results will differ from those set forth in the forward-looking statements. Reference to msystems’ website above does not constitute incorporation of any of the information thereon into this press release.