June 11, 2008

Cree Announces Sample Release of 90W GaN HEMT with Record Wideband Amplifier Efficiency

DURHAM, N.C. -- Cree, Inc (Nasdaq: CREE) announces the sample release of a 90W, highly efficient GaN HEMT microwave transistor for general-purpose military and industrial applications such as electronic warfare, radar, tactical radios and EMC applications. This transistor provides superior performance over wide bandwidths compared to other technologies such as GaAs MESFET or Si LDMOSFET.

The new transistor, CGH40090PP, consists of a pair of GaN HEMT transistors providing over 90 watts of saturated power in a small, industry-standard Gemini ceramic-metal package. The exceptional performance of the transistor has been demonstrated in a balanced 500-MHz to 2500-MHz instantaneous bandwidth reference amplifier that offers 14 dB typical small-signal gain, 90 watts typical CW output power, and typical drain efficiencies of 55% over the entire band. This amplifier provides the best-known efficiency in the industry for any 5:1 bandwidth amplifier over this frequency range and power level.

“The CGH40090PP is an important addition to our general-purpose GaN HEMT product family that can be used in either push-pull or balanced amplifier designs. We are especially pleased that the reference design amplifier demonstrates state-of-the-art efficiency over such a wide frequency range. It is another example of how Cree’s GaN HEMT products can enable highly efficient systems for our customers - the more efficient the amplifier, the less heat generated. This can positively impact system thermal design, cooling costs, size and weight, and DC power distribution,” said Jim Milligan, director of RF and microwave products at Cree.

The CGH40090PP complements the range of Cree’s broadband GaN HEMT general-purpose microwave transistors now available at power levels of 10W, 25W, 35W, 45W and 90W.

Please call (919) 287-7816 or visit the Cree website at www.cree.com for more information about Cree’s GaN HEMT devices. Data sheets and sample ordering are also available: http://www.cree.com/products/wireless_products.asp

About Cree
Cree is leading the LED lighting revolution and setting the stage to obsolete the incandescent light bulb through the use of energy-efficient, environmentally friendly LED lighting. Cree is a market-leading innovator of lighting-class LEDs, LED lighting retrofit solutions, and semiconductor solutions for backlighting, wireless and power applications.

Cree’s product families include recessed LED down lights, blue and green LED chips, high-brightness LEDs, lighting-class power LEDs, power-switching devices and radio-frequency/wireless devices. Cree solutions are driving improvements in applications such as general illumination, backlighting, electronic signs and signals, variable-speed motors, and wireless communications.

For additional product and company information, please refer to www.cree.com.

This press release contains forward-looking statements involving risks and uncertainties, both known and unknown, that may cause actual results to differ materially from those indicated. Actual results may differ materially due to a number of factors, such as the risk we may encounter delays or other difficulties in ramping up production of our new sample products which are currently available for evaluation and testing purposes only; the risk we may be unable to develop and release commercial products with performance ratings comparable to the development results described above; the risk we may be unable to manufacture products with sufficiently low cost to offer them at competitive prices or with acceptable margins; the rapid development of new technology and competing products that may impair demand or render our products obsolete; the potential lack of customer acceptance for the products; variations in demand for Cree’s products and its customers' products; and other factors discussed in Cree’s filings with the Securities and Exchange Commission, including its report on Form 10-K for the year ended June 24, 2007, and subsequent filings.