Magnetoencephalographic (MEG) auditory evoked fields (EF) were recorded from 12 normal adult subjects over both hemispheres on two separate occasions at least one week apart using a seven-channel second-order gradiometer. Stimuli were computer-generated at 25-msec duration, 1 kHz tone pips. Responses to 100 stimuli were averaged, and source estimates with confidence intervals were computed, for the 100-msec latency auditory EF component, termed M100. Root-mean-squared (rms) differences in x, y, and z locations were approximately 0.7 cm on the two occasions; strength and orientation differences were 18 nA-m and 11 degrees, respectively. This spatial accuracy using a seven-channel instrument, compares favorably with other currently available technologies for localization of brain function.