We have developed a high-performance perpendicularly magnetized TMR element that functions as a memory cell for large-capacity Spin-RAMs. In order to develop a large-capacity Spin-RAM with a memory capacity of over 1 Gbit, it is necessary to develop a perpendicularly magnetized TMR element that has not only a magnetoresistance (MR) ratio higher than 50 % to generate a large output signal, but also low resistance-area (RA) product of less than 30 Ωµm² for impedance matching with peripheral circuits. However, there have been no reports on such perpendicularly magnetized TMR elements. The perpendicularly magnetized TMR element developed at AIST has succeeded in achieving an MR ratio as high as 85 % in a low-RA product region as low as about 4 Ωµm². This technology enables the circuit design of large-capacity Spin-RAMs of 5 Gbit or more.