Some manufacturers deploy physical authentication tokens in the form of a flash drive. These are used to control access to a sensitive system by containing encryption keys or, more commonly, communicating with security software on the target machine. The system is designed so the target machine will not operate except when the flash drive device is plugged into it. Some of these "PC lock" devices also function as normal flash drives when plugged into other machines.
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]
Flash drives may present a significant security challenge for some organizations. Their small size and ease of use allows unsupervised visitors or employees to store and smuggle out confidential data with little chance of detection. Both corporate and public computers are vulnerable to attackers connecting a flash drive to a free USB port and using malicious software such as keyboard loggers or packet sniffers.
In January 2013, tech company Kingston, released a flash drive with 1 TB of storage.[24] The first USB 3.1 type-C flash drives, with read/write speeds of around 530 MB/s, were announced in March 2015.[25] As of July 2016, flash drives within the 8 to 256 GB were sold more frequently than those between 512 GB and 1 TB units.[2][3] In 2017, Kingston Technology announced the release of a 2-TB flash drive.[26]