A nonvolatile memory device embedded with Ge nanocrystal dots is fabricated by the thermal oxidation of Si0.8Ge0.2 combined with a rapid thermal annealing at 950degreesC in N-2 gas. The tunnel oxide in the nonvolatile memory is controlled to be 4.5 nm thick and embedded with 5.5 nm Ge nanocrystals. A low operating voltage, 5 V, is implemented and a significant threshold-voltage shift, 0.42 V, is observed. When the electrons are trapped in the Ge nanocrystals, the effect of Coulomb blockade prevents the injection and storage of more electrons and decreases the leakage current. Also, the retention characteristics are tested to be robust. (C) 2003 The Electrochemical Society.