Varnish is an HTTP accelerator that caches content in memory to speed up web applications. It is installed on Ubuntu using apt-get and configured via files that control its binding port, administration interface, configuration, and cache size and storage. The Varnish Configuration Language (VCL) is used to define backends, directors, caching behavior on recv and fetch, and grace/saint modes. Purging removes cached content. Tools are provided to monitor Varnish's performance and logs.