That should be no problem.

http://www.mathworks.com/matlabcentral/answers/91711-what-is-the-maximum-matrix-size-for-each-platform

What did you try and what did it say?

I've tried many things - import using the matlab 'visual interface' and several commands lines, each time it tells me there isn't enough memory or some other kind of error.

e.g.

>> num=xlsread('table_bits_sorted_norm.xls')
Warning: Could not start Excel server for import, 'basic' mode will be used. Refer to HELP XLSREAD
for more information.
> In xlsread at 176
??? Error using ==> xlsread at 234
File contains unexpected record length. Try saving as Excel 98.

(I'm using a new MabBook pro with 8gb memory, and Matlab 2010a. Also tried to do this on a PC with Matlab 2013a)

Try exporting from excel as a text file and then loading into MATLAB.

I think you need to melt it, I.e. turn it into a long list of row id \t col id \t value entries. Then load it as sparse matrix. Btw this is a stackoverflow, not bioiformatics, question.