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Multifunctional Odyssey 300 Features Mac and PC Compatibility, Direct MP3 Encoding, Voice Recording and MP3 Playback

The Odyssey 300 also is currently shipping to DBL Distributing Inc., a leading distributor of consumer electronics that annually sells to over 25,000 independent retailers throughout the United States.

The multi-functional Odyssey 300 MP3 player features a built-in FM radio, FM recording, digital voice recording, direct MP3 encoding from a CD player without the use of a computer, and up to 12 hours of playback time from one AA Alkaline battery (Duracell® brand Alkaline battery included). The Odyssey 300's standard 128 MB of built-in flash holds up to 8.5 hours of voice, music, and FM recordings. With the built-in SmartMedia(TM) card expansion slot, users can double that amount by adding their own SmartMedia card up to 128 MB.

The Odyssey 300 features effortless navigation using a movable joystick and has an easy-to-read graphic blue backlit LCD. It also includes a carrying case with belt clip, a cable for connecting a CD player to the Line In jack for recording, and a wired remote control for controlling volume, playback, FM tuning and other functions.

According to Jim Collier, president and COO of e.Digital, "The Odyssey 300 incorporates a fantastic set of features in a very compact and attractive design. It's an MP3 player, voice recorder, FM radio, and FM recorder all in one. The full set of accessories, the carrying case with belt clip, the remote control, and the fact that it is simple to use, make it a great idea for gift-giving."

The Odyssey 300, which is brought to the U.S. market through a collaboration between e.Digital and Digitalway Co. Ltd. of Korea, comes with Odyssey Manager software and that is PC and Mac compatible. The Odyssey 300 retails for $199 MSRP.

About e.Digital

e.Digital Corp. designs, licenses, brands, manufactures, and sells digital audio products and technologies. The company's trademarked digital audio players include the MXP(TM) 100, Treo(TM) portable digital jukebox line, Silhouette(TM) ultra-slim MP3-CD player, and Odyssey(TM) line of flash- and hard disk drive-based players. e.Digital launched WeDigMusic.com to complement its digital audio players by providing consumers with a one-stop-shop for streaming and downloading music from thousands of artists on the Web. The company also offers an engineering partnership for the world's leading electronics companies to link portable digital devices to PCs and the Internet. e.Digital develops and markets to consumer electronics manufacturers complete end-to-end solutions for delivery and management of open and secure digital media with a focus on music, voice and video players/recorders, and automotive infotainment and telematics systems. Other applications for e.Digital's technology include portable digital music players and voice recorders; desktop, laptop, and handheld computers; PC peripherals; cellular phone peripherals; e-books; video games; digital cameras; and digital video recorders. Engineering services range from the licensing of e.Digital's patented MicroOS(TM) file management system to custom software and hardware development, industrial design, and manufacturing services. For more information on the company, please visit www.edig.com. To shop at the e.Digital online store, please visit www.edigital-store.com.

Safe Harbor statement under the Private Securities Litigation Reform of 1995: All statements made in this document, other than statements of historical fact, are forward-looking statements. Forward-looking statements are based on the then-current expectations, beliefs, assumptions, estimates and forecasts about the businesses of the Company and the industries and markets in which the company operates. Those statements are not guarantees of future performance and involve risks, uncertainties and assumptions that will be difficult to predict. Therefore, actual outcomes and results may differ materially from what is expressed or implied by those forward-looking statements. Factors that may affect the Company's businesses, financial condition and operating results include future products and results, technological shifts, potential technical difficulties that could delay new products and services, competition, pricing pressures, the uncertainty of market acceptance of new products and services by OEM's and end-user customers, effects of changes in the economy, consumer spending, the ability of the Company to maintain relationships with strategic partners and suppliers, the ability of the Company to timely and successfully develop, maintain and protect its technology and product and service offerings and execute operationally, the ability of the company to attract corporate financing and the ability of the Company to attract and retain qualified personnel. These factors may also include, but are not limited to, general market conditions, the Company's ability to develop new products to meet market demand, the Company's ability to maintain cost controls, the mix of products and services the Company's customers require and the effects of natural disasters, international conflicts and other events beyond the Company's control. More information about potential factors that could affect the Company can be found in its most recent Form 10-K, Form 10-Q and other reports and statements filed by e.Digital with the Securities and Exchange Commission ("SEC"). e.Digital disclaims any intent or obligation to update those forward-looking statements, except as otherwise specifically stated by it.

Editors Note: e.Digital and Odyssey are trademarks of e.Digital Corp. All other company, product, and service names are the property of their respective owners.

Contact:

     e.Digital Corp.
     Robert Putnam, 858/679-1504 (Investor Relations)
     robert@edig.com
        or
     Lisa Stevens, 858/679-1504 (Media Relations)
     PR@edig.com