M-Systems, an Israeli company, were granted a US patent on November 14, 2000, titled "Architecture for a [USB]-based Flash Disk", and crediting the invention to Amir Ban, Dov Moran and Oron Ogdan, all M-Systems employees at the time. The patent application was filed by M-Systems in April 1999.[6][1][7] Later in 1999, IBM filed an invention disclosure by one of its employees.[1] Flash drives were sold initially by Trek 2000 International, a company in Singapore, which began selling in early 2000. IBM became the first to sell USB flash drives in the United States in 2000.[1] The initial storage capacity of a flash drive was 8 MB.[7] Another version of the flash drive, described as a pen drive, was also developed. Pua Khein-Seng from Malaysia has been credited with this invention.[8] Patent disputes have arisen over the years, with competing companies including Singaporean company Trek Technology and Chinese company Netac Technology, attempting to enforce their patents.[9] Trek won a suit in Singapore,[10][11] but has lost battles in other countries.[12] Netac Technology has brought lawsuits against PNY Technologies,[13] Lenovo,[14] aigo,[15] Sony,[16][17][18] and Taiwan's Acer and Tai Guen Enterprise Co.[18]
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The U3 company works with drive makers (parent company SanDisk as well as others) to deliver custom versions of applications designed for Microsoft Windows from a special flash drive; U3-compatible devices are designed to autoload a menu when plugged into a computer running Windows. Applications must be modified for the U3 platform not to leave any data on the host machine. U3 also provides a software framework for independent software vendors interested in their platform.


For computers set up to be bootable from a USB drive, it is possible to use a flash drive containing a bootable portable operating system to access the files of the computer, even if the computer is password protected. The password can then be changed, or it may be possible to crack the password with a password cracking program and gain full control over the computer. Encrypting files provides considerable protection against this type of attack.
USB flash drives have been integrated into other commonly carried items, such as watches, pens, and even the Swiss Army Knife; others have been fitted with novelty cases such as toy cars or Lego bricks. USB flash drives with images of dragons, cats or aliens are very popular in Asia.[36] The small size, robustness and cheapness of USB flash drives make them an increasingly popular peripheral for case modding.
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