INTRODUCTION Message from our CEO About Applied Materials Our Sustainability Vision and Strategy Make Possible a Better Future Our Progress at a Glance Corporate Responsibility Materiality Assessment PURPOSE PEOPLE PLANET PROGRESS Applied Materials has the industry’s broadest and most enabling portfolio of materials engineering solutions used to produce virtually every chip and advanced display in the world. We recognize that this unique leadership position comes with tremendous responsibility to our employees, customers and society. In fiscal 2021, as the world continued to adapt to the impacts of COVID-19 and global supply chain disruptions challenged the resilience of every industry, Applied made strong progress toward our 10-year sustainability roadmap. Our comprehensive 2030 strategy considers the magnitude of our opportunities including social and environmental impacts in our operations (1X), how we work with customers and suppliers (100X), and how our technology can be used to advance sustainability on a global scale (10,000X). Here are just a few highlights of our recent progress: > Reduced our Scope 1 and 2 emissions and increased our use of renewable electricity, remaining on track to achieve our 2030 goals. > Quantified our full Scope 3 emissions inventory for our 2019 baseline and reported our carbon impact and risks in-line with the Task Force on Climate Related Financial Disclosures (TCFD). > Advanced our 3x30 and SuCCESS2030 goals, including accelerating sustainable innovation, improving the longevity of our products, and enabling our suppliers to better meet our ESG expectations. > Strengthened our Culture of Inclusion by providing comprehensive diversity training to all senior leaders and a majority of employees worldwide and increased the representation of women and underrepresented minorities in our company—though we know we have to do much more to reach our targets. > Conducted our first human rights salience assessment, which builds on our Human Rights Statement of Principles . We will report on our progress toward these topics in future years. > Completed an equity audit of our community involvement and investments, and committed to put equity at the center of all future community engagements. In this 2021 Sustainability Report, you will learn how we lead with purpose and support our local communities; invest in people to create a vibrant culture of inclusion where every Applied employee is empowered to grow and thrive in their careers; protect our planet by reducing our direct and indirect impacts; and innovate for progress across our global supply chain. The opportunity for technology to shape a more equitable and sustainable world has never been more promising. Applied Materials remains steadfast in our commitment to work across this ecosystem to drive critical advances that will accelerate a sustainable and inclusive digital economy and Make Possible ® a Better Future for all generations to come. Gary E. Dickerson President and Chief Executive Officer Digital transformation is accelerating and impacting virtually every area of life and the economy. Semiconductors that power this transformation are more essential than ever and greatly influence the prospect of shaping a more sustainable and equitable future. Message from our CEO Sustainability Report 2021 2 INTRODUCTION Message from our CEO About Applied Materials Our Sustainability Vision and Strategy Make Possible a Better Future Our Progress at a Glance Corporate Responsibility Materiality Assessment PURPOSE PEOPLE PLANET PROGRESS