GLOUCESTER, MA–(EMWNews – July 23, 2008) – For the third consecutive year, Varian

Semiconductor Equipment Associates, Inc. (NASDAQ: VSEA) received the

highest aggregate score in the VLSI Research annual survey of large

semiconductor capital equipment makers.

The results were based on 4,565 surveys collected from chip manufacturers

representing 95% of worldwide chip production. Each company is evaluated on

13 criteria which encompass equipment performance and customer service.

Varian earned the highest ranking in eleven of the thirteen categories.

“Reaching the number one spot in VLSI’s annual survey is particularly

rewarding this year,” said Gary Dickerson, Chief Executive Officer of

Varian Semiconductor. “In 2007, we achieved record growth in ion implant

market share. Varian made it a priority to maintain, really to improve, our

customer satisfaction performance while shipping twice as many tools. These

simultaneous achievements reflect the tremendous customer commitment of

Varian Semiconductor employees.”

“VLSI Research has become accustomed to customers rating Varian high for

its superior performance,” said G. Dan Hutcheson, Chief Executive Officer

at VLSI Research. “No other company has put together a string of number one

rankings like Varian has. Yet, Varian makes it look easy. In fact, Varian

has achieved a number one designation in 12 of the last 13 years. The

reason is simple: the people at Varian consistently deliver the right

tools and the right support year in and year out.”

About Varian Semiconductor

Varian Semiconductor Equipment Associates is the leading supplier of ion

implant equipment to semiconductor manufacturers, enabling them to pack

more, higher performing transistors into computer chips that are

revolutionizing the electronics industry. Varian Semiconductor’s products

are used by chip manufacturers worldwide to produce high-performance

semiconductor devices. Customers have made Varian Semiconductor the market

leader in ion implant because of its architecturally superior products that

lower their costs and improve their productivity. Varian Semiconductor

operates globally and is headquartered in Gloucester, Massachusetts. More

information can be found on Varian Semiconductor’s web site at

www.vsea.com.

About VLSI Research, Inc

VLSI Research Inc is the leading provider of market research and economic

analysis on the technical, business, and economic aspects of the high

technology chip making industry. The Company is known for its unparalleled

accuracy, innovation in market research, and its sharply focused insight

into the rapidly changing landscape of the chip making business. VLSI

Research’s databases on chip making are used throughout the industry, the

investment community, and by governments for decisive strategic planning.

VLSI Research was founded in 1976 and incorporated in California in 1981.

The Company’s website is www.vlsiresearch.com.