Recently, ZnO nanowire field effect transistors (FETs) have received renewed interest due to their extraordinary low dimensionality and high sensitivity to external chemical environments and illumination conditions. These prominent properties have promising potential in nanoscale chemical and photo-sensors. In this article, we have fabricated ZnO nanowire FETs and have found hysteresis behavior in their transfer characteristics. The mechanism and dynamics of the hysteresis phenomena have been investigated in detail by varying the sweeping rate and range of the gate bias with and without light irradiation. Significantly, light irradiation is of great importance on charge trapping by regulating adsorption and desorption of oxygen at the interface of ZnO/SiO2. Carriers excited by light irradiation can dramatically promote trapping/detrapping processes. With the assistance of light illumination, we have demonstrated a photon-assisted nonvolatile memory which employs the ZnO nanowire FET. The device exhibits reliable programming/erasing operations and a large on/off ratio. The proposed proto-type memory has thus provided a possible novel path for creating a memory functionality to other low-dimensional material systems.