Applied Materials Ships 1,000th Dielectric Etch MxP+ Process Chamber.

SANTA CLARA, Calif.--(BUSINESS WIRE)--May 1, 1998--

MxP+ Etch Systems Receive Rapid Worldwide Customer Acceptance;

1,000 MxP+ Process Chambers Installed on More Than 300 Etch

Systems in Less Than Three Years

Applied Materials, Inc. celebrated the shipment of its 1,000th Dielectric Etch MxP+(tm) process chamber. The 1,000 units, which include the eMxP+ chamber enhancement, were installed on more than 300 of the company's etch systems in a span of less than three years. Since the system's introduction in 1995, sales of the MxP+ dielectric etchers accelerated rapidly, with purchases in the first year exceeding 100 multi-chamber systems. The rapid customer acceptance of this product has helped Applied Materials gain share in the highly-competitive dielectric etch market.

"We are extremely pleased by the enthusiastic customer acceptance of our MxP+ dielectric etch products," said David Bergeron, president of Applied Materials' Etch Products Business Group. "The unique design of this chamber has allowed customers to easily extend the life of their Precision 5000(R) and Centura(R)-based systems through multiple device generations with relatively simple upgrades. In addition to advanced technology, chamber enhancements in the eMxP+ have brought clear productivity benefits with lower operating cost and increased process capabilities."

The MxP+ series chambers feature upgrades such as patented chamber liners and a polymer management system that has eliminated chamber dry cleans. Mean wafers between wet cleans are double that of the original chamber, and wet clean and recovery times have been reduced significantly. The chamber design also enables wide process windows that can easily be tailored to provide excellent results in specific etch applications. By standardizing on an electrostatic chuck and patented plasma confinement techniques, the MxP+ series systems have proven to be extremely cost effective and productive, setting an industry benchmark in fabs worldwide.

The market for dry etch equipment is one of the largest among all types of semiconductor processing technologies. Applied Materials' most advanced dielectric etch products, the Dielectric Etch eMxP+ Centura(R) and the Dielectric Etch IPS(tm) Centura(R), provide a complete dielectric etch product portfolio that is expected to address customer requirements for the next several device generations.

Applied Materials, Inc. is a Fortune 500 global growth company and the world's largest supplier of wafer fabrication systems and services to the global semiconductor industry. Applied Materials is traded on the Nasdaq National Market System under the symbol "AMAT." Applied Materials' web site is http://www.AppliedMaterials.com.

CONTACT: Applied Materials Inc.

Betty Newboe, 408/563-0647 (editorial/media)

Carolyn Schwartz, 408/748-5227 (financial community)