EXHIBIT 99.1

CONTACT:

Debra L. Nelson
Chief Financial Officer
Ibis Technology Corporation
(978) 777-4247

FOR IMMEDIATE RELEASE


                IBIS TECHNOLOGY ANNOUNCES COST REDUCTION ACTIONS

DANVERS, MA, May 31, 2001 -- Ibis Technology Corporation (NASDAQ: IBIS), the
leading provider of SIMOX-SOI implantation equipment and wafers to the worldwide
semiconductor industry, today announced it has implemented a series of
cost-reduction measures in light of the continuing downturn of the semiconductor
and telecommunications industries.

"As a result of our revised outlook, reported in a press release on April 12, we
have implemented several cost-cutting programs, including reducing headcount by
approximately 14 percent, cutting pay for senior executives, and lowering
non-essential discretionary spending," said Martin J. Reid, president and chief
executive officer of Ibis Technology Corporation. "The headcount reduction,
which affected both temporary and regular full-time positions, is primarily the
result of temporarily suspending the weekend night shift at Ibis' Danvers
facility."

"Although reducing employee headcount is a painful measure," noted Reid, "we are
focused on keeping our costs in line with revenue levels while maintaining our
critical spending in key areas, such as introducing the new production-proven
Advantox MLD process technology and the development of our new Ibis 2000
implanter for the production of both 200mm and 300mm SIMOX-SOI wafers. Interest
in SIMOX-SOI remains high, as virtually all leading chip makers are moving
forward with their advanced technology programs in spite of the industry
slowdown. We have begun shipping Advantox MLD wafers in response to orders from
several customers, and our cost-reduction initiatives will help assure that we
are positioned to aggressively respond to future growth opportunities. At this
point, we expect the growing adoption of our SIMOX-SOI technology to coincide
with the predicted semiconductor industry recovery at the end of this year or
early in 2002."

ABOUT IBIS TECHNOLOGY
Ibis Technology Corporation is the leading provider of SIMOX-SOI (Separation by
IMplantation of OXygen-Silicon-On-Insulator) wafers and equipment for the
worldwide semiconductor industry. The company is headquartered in Danvers,
Massachusetts and maintains an office in Aptos, California. Information about
Ibis Technology Corporation and SIMOX-SOI is available on Ibis's World Wide Web
site at http://www.ibis.com.






IBIS TECHNOLOGY CORPORATION
May 31, 2001
Page Two



"SAFE HARBOR" STATEMENT: This release may contain forward-looking statements
that are subject to certain risks and uncertainties including statements
regarding the technology trends in the semiconductor and telecommunications
industries, the impact of such trends on the Company's business, the
semiconductor industry's adoption of SIMOX-SOI technology and the timing of the
predicted semiconductor industry recovery. Such statements are based upon
management's current expectations that are subject to risks and uncertainties
that could cause actual results to differ materially from those set forth in or
implied by forward-looking statements, including, but not limited to, product
demand and market acceptance risks, general economic conditions, the impact of
competitive products, technologies and pricing, the impact of rapidly changing
technology, equipment capacity and supply constraints or difficulties,
limitations on the ability to protect the Company's patents and proprietary
technology, the Company's limited history with regard to sales of implanters,
the cyclical nature of the semiconductor industry, and other risks described in
the Company's Securities and Exchange Commission filings. All information set
forth in this press release is as of May 31, 2001, and Ibis undertakes no duty
to update this information unless required by law.


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