This paper presents the life estimation of the diffuser structure. Literature shows that the welds are the source of failure in case of welded structure; hence the estimation of its life is very critical. There are two kinds of methods for life estimation stress life approach and strain life approach which have been validated for simple problems. Stress life approach was identified as appropriate for life estimation of the variable diffuser. There are papers indicating the methodology for life estimation using commercial software for life prediction. Here, Optistruct- Hyper-Works for pre-processing and solver and Hyper-View- Hyper-Works for post processing has been used for the indeterminate structure, complex loading and boundary condition. The mathematical model subjected to the variable pressure contours for a particular Mach No., with the gimbal joint boundary condition at the test section end and the roller support at the other end. In this paper stress and fatigue analysis of the variable diffuser has been carried out and life of the variable diffuser has been estimated.