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    <periodOfReport>2006-10-31</periodOfReport>

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        <issuerName>Verigy Ltd.</issuerName>
        <issuerTradingSymbol>VRGY</issuerTradingSymbol>
    </issuer>

    <reportingOwner>
        <reportingOwnerId>
            <rptOwnerCik>0001364097</rptOwnerCik>
            <rptOwnerName>Erickson Gayn</rptOwnerName>
        </reportingOwnerId>
        <reportingOwnerAddress>
            <rptOwnerStreet1>C/O VERIGY LTD.</rptOwnerStreet1>
            <rptOwnerStreet2>10100 N. TANTAU AVENUE</rptOwnerStreet2>
            <rptOwnerCity>CUPERTINO</rptOwnerCity>
            <rptOwnerState>CA</rptOwnerState>
            <rptOwnerZipCode>95014-2540</rptOwnerZipCode>
            <rptOwnerStateDescription></rptOwnerStateDescription>
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            <isOfficer>1</isOfficer>
            <isTenPercentOwner>0</isTenPercentOwner>
            <isOther>0</isOther>
            <officerTitle>Vice President, Memory Test</officerTitle>
        </reportingOwnerRelationship>
    </reportingOwner>

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            <securityTitle>
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            </securityTitle>
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    <footnotes>
        <footnote id="F1">Stock option received pursuant to the Master Separation and Distribution Agreement and Employee Matters Agreement entered into between Verigy Ltd. and Agilent Technologies, Inc. in connection with Verigy's separation from Agilent.  On October 31, 2006, Agilent cancelled the unvested Agilent equity awards held by Verigy employees as of October 31, 2006 and Verigy granted replacement awards under the Verigy Ltd. 2006 Equity Incentive Plan to Verigy employees whose Agilent Awards were cancelled.</footnote>
        <footnote id="F2">3,721 become exercisable on 1/24/2007; 3,721 become exercisable on 1/24/2008; 3,722 become exercisable on 1/24/2009</footnote>
        <footnote id="F3">2,658 become exercisable 7/20/2007; 2,658 become exercisable 7/20/2008.</footnote>
        <footnote id="F4">3,189 become exercisable 1/26/2007; 3,190 become exercisable 1/26/2008</footnote>
        <footnote id="F5">4,253 become exercisable 9/10/2007; 4,253 become exercisable 9/10/2008.</footnote>
    </footnotes>

    <ownerSignature>
        <signatureName>Gayn Erickson by Paul R. Moore, Attorney-In-Fact</signatureName>
        <signatureDate>2006-11-02</signatureDate>
    </ownerSignature>
</ownershipDocument>
