A short overview is given of the giant magnetoresistance (GMR) effect
and its device applications. As an example of present research topics,
the optimization of the ferromagnetic-layer composition of spin valve
s for application in recording heads is discussed. The influence on ou
tput voltage and stability has been investigated in test structures an
d compared with material parameters that were experimentally obtained
from unpatterned films. It is found that in practical applications a s
mall addition of cobalt is advantageous, since, although the output vo
ltage is decreased, it leads to an improvement in reproducibility, lin
earity, signal-to-noise ratio and dynamic range.