-----BEGIN PRIVACY-ENHANCED MESSAGE-----
Proc-Type: 2001,MIC-CLEAR
Originator-Name: webmaster@www.sec.gov
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 TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB
MIC-Info: RSA-MD5,RSA,
 HTfoKwvN66osr+IzB8aaBXX9pwP1IQDZxudHhZnDf/kx9AHusCn0eAKoGsWXyqmJ
 DhVVWLehGAgZo/4RWQ3V7g==

<SEC-DOCUMENT>0001179110-09-017393.txt : 20091223
<SEC-HEADER>0001179110-09-017393.hdr.sgml : 20091223
<ACCEPTANCE-DATETIME>20091223162314
ACCESSION NUMBER:		0001179110-09-017393
CONFORMED SUBMISSION TYPE:	4
PUBLIC DOCUMENT COUNT:		1
CONFORMED PERIOD OF REPORT:	20091222
FILED AS OF DATE:		20091223
DATE AS OF CHANGE:		20091223

REPORTING-OWNER:	

	OWNER DATA:	
		COMPANY CONFORMED NAME:			PEELER JOHN R
		CENTRAL INDEX KEY:			0001053572

	FILING VALUES:
		FORM TYPE:		4
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	000-16244
		FILM NUMBER:		091258310

	MAIL ADDRESS:	
		STREET 1:		DYNATECH CORP
		STREET 2:		3 NEW ENGLAND EXECUTIVE PARK
		CITY:			BURLINGTON
		STATE:			MA
		ZIP:			01803

ISSUER:		

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			VEECO INSTRUMENTS INC
		CENTRAL INDEX KEY:			0000103145
		STANDARD INDUSTRIAL CLASSIFICATION:	SPECIAL INDUSTRY MACHINERY, NEC [3559]
		IRS NUMBER:				112989601
		STATE OF INCORPORATION:			DE
		FISCAL YEAR END:			1231

	BUSINESS ADDRESS:	
		STREET 1:		TERMINAL DRIVE
		CITY:			PLAINVIEW
		STATE:			NY
		ZIP:			11803
		BUSINESS PHONE:		516 677-0200

	MAIL ADDRESS:	
		STREET 1:		TERMINAL DRIVE
		CITY:			PLAINVIEW
		STATE:			NY
		ZIP:			11803

	FORMER COMPANY:	
		FORMER CONFORMED NAME:	VACUUM ELECTRONIC MANUFACTURING CORP
		DATE OF NAME CHANGE:	19700408
</SEC-HEADER>
<DOCUMENT>
<TYPE>4
<SEQUENCE>1
<FILENAME>edgar.xml
<DESCRIPTION>FORM 4 -
<TEXT>
<XML>
<?xml version="1.0"?>
<ownershipDocument>

    <schemaVersion>X0303</schemaVersion>

    <documentType>4</documentType>

    <periodOfReport>2009-12-22</periodOfReport>

    <notSubjectToSection16>0</notSubjectToSection16>

    <issuer>
        <issuerCik>0000103145</issuerCik>
        <issuerName>VEECO INSTRUMENTS INC</issuerName>
        <issuerTradingSymbol>VECO</issuerTradingSymbol>
    </issuer>

    <reportingOwner>
        <reportingOwnerId>
            <rptOwnerCik>0001053572</rptOwnerCik>
            <rptOwnerName>PEELER JOHN R</rptOwnerName>
        </reportingOwnerId>
        <reportingOwnerAddress>
            <rptOwnerStreet1>VEECO INSTRUMENTS INC.</rptOwnerStreet1>
            <rptOwnerStreet2>TERMINAL DRIVE</rptOwnerStreet2>
            <rptOwnerCity>PLAINVIEW</rptOwnerCity>
            <rptOwnerState>NY</rptOwnerState>
            <rptOwnerZipCode>11803</rptOwnerZipCode>
            <rptOwnerStateDescription></rptOwnerStateDescription>
        </reportingOwnerAddress>
        <reportingOwnerRelationship>
            <isDirector>1</isDirector>
            <isOfficer>1</isOfficer>
            <isTenPercentOwner>0</isTenPercentOwner>
            <isOther>0</isOther>
            <officerTitle>CEO</officerTitle>
            <otherText></otherText>
        </reportingOwnerRelationship>
    </reportingOwner>

    <nonDerivativeTable>
        <nonDerivativeTransaction>
            <securityTitle>
                <value>Common Stock</value>
            </securityTitle>
            <transactionDate>
                <value>2009-12-22</value>
            </transactionDate>
            <transactionCoding>
                <transactionFormType>4</transactionFormType>
                <transactionCode>M</transactionCode>
                <equitySwapInvolved>0</equitySwapInvolved>
            </transactionCoding>
            <transactionAmounts>
                <transactionShares>
                    <value>33333</value>
                </transactionShares>
                <transactionPricePerShare>
                    <value>17.48</value>
                </transactionPricePerShare>
                <transactionAcquiredDisposedCode>
                    <value>A</value>
                </transactionAcquiredDisposedCode>
            </transactionAmounts>
            <postTransactionAmounts>
                <sharesOwnedFollowingTransaction>
                    <value>272158</value>
                </sharesOwnedFollowingTransaction>
            </postTransactionAmounts>
            <ownershipNature>
                <directOrIndirectOwnership>
                    <value>D</value>
                </directOrIndirectOwnership>
            </ownershipNature>
        </nonDerivativeTransaction>
        <nonDerivativeTransaction>
            <securityTitle>
                <value>Common Stock</value>
            </securityTitle>
            <transactionDate>
                <value>2009-12-22</value>
            </transactionDate>
            <transactionCoding>
                <transactionFormType>4</transactionFormType>
                <transactionCode>S</transactionCode>
                <equitySwapInvolved>0</equitySwapInvolved>
            </transactionCoding>
            <transactionAmounts>
                <transactionShares>
                    <value>33333</value>
                    <footnoteId id="F1"/>
                </transactionShares>
                <transactionPricePerShare>
                    <value>33.0003</value>
                    <footnoteId id="F2"/>
                </transactionPricePerShare>
                <transactionAcquiredDisposedCode>
                    <value>D</value>
                </transactionAcquiredDisposedCode>
            </transactionAmounts>
            <postTransactionAmounts>
                <sharesOwnedFollowingTransaction>
                    <value>238825</value>
                </sharesOwnedFollowingTransaction>
            </postTransactionAmounts>
            <ownershipNature>
                <directOrIndirectOwnership>
                    <value>D</value>
                </directOrIndirectOwnership>
            </ownershipNature>
        </nonDerivativeTransaction>
    </nonDerivativeTable>

    <derivativeTable>
        <derivativeTransaction>
            <securityTitle>
                <value>Stock Option (right to purchase)</value>
            </securityTitle>
            <conversionOrExercisePrice>
                <value>17.48</value>
            </conversionOrExercisePrice>
            <transactionDate>
                <value>2009-12-22</value>
            </transactionDate>
            <transactionCoding>
                <transactionFormType>4</transactionFormType>
                <transactionCode>M</transactionCode>
                <equitySwapInvolved>0</equitySwapInvolved>
            </transactionCoding>
            <transactionAmounts>
                <transactionShares>
                    <value>33333</value>
                </transactionShares>
                <transactionPricePerShare>
                    <value>0</value>
                </transactionPricePerShare>
                <transactionAcquiredDisposedCode>
                    <value>D</value>
                </transactionAcquiredDisposedCode>
            </transactionAmounts>
            <exerciseDate>
                <footnoteId id="F3"/>
            </exerciseDate>
            <expirationDate>
                <value>2015-06-11</value>
            </expirationDate>
            <underlyingSecurity>
                <underlyingSecurityTitle>
                    <value>Common Stock</value>
                </underlyingSecurityTitle>
                <underlyingSecurityShares>
                    <value>33333</value>
                </underlyingSecurityShares>
            </underlyingSecurity>
            <postTransactionAmounts>
                <sharesOwnedFollowingTransaction>
                    <value>116667</value>
                </sharesOwnedFollowingTransaction>
            </postTransactionAmounts>
            <ownershipNature>
                <directOrIndirectOwnership>
                    <value>D</value>
                </directOrIndirectOwnership>
            </ownershipNature>
        </derivativeTransaction>
    </derivativeTable>

    <footnotes>
        <footnote id="F1">Represents securities sold pursuant to a 10b5-1 sales plan adopted by the reporting person.</footnote>
        <footnote id="F2">Reflects weighted average sale price.  Actual sale price ranged from $33.00 to $33.01 per share.  The reporting person undertakes to provide, upon the request of the SEC staff, the issuer or any security holder of the issuer, full information regarding the number of shares sold at each separate price.</footnote>
        <footnote id="F3">The option was granted on June 12, 2008 and became exercisable with respect to 1/3 of such shares on each of the first, second and third anniversaries of the date of grant.</footnote>
    </footnotes>

    <ownerSignature>
        <signatureName>Gregory A. Robbins, Attorney-in-fact</signatureName>
        <signatureDate>2009-12-23</signatureDate>
    </ownerSignature>
</ownershipDocument>
</XML>
</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
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