June 13, 2008

Cree Delivers GaN Process Design Kit for Use with Agilent’s Advanced Design System EDA Software—Shortens MMIC Design Cycles

DURHAM, N.C. -- Cree, Inc. (Nasdaq: CREE) announces the availability of a leading-edge process design kit (PDK) for GaN HEMT process technology. The Cree PDK, developed for use with Advanced Design System (ADS) from Agilent Technologies, Inc., can enable radio-frequency (RF) and microwave designers to shorten the development cycle for monolithic microwave integrated circuits (MMIC) used in high-power, high-performance electronic systems, resulting in a highly productive design flow.

The Cree GaN kit includes microstrip lines, discontinuities, scalable capacitors, inductors and resistors, pads, vias, airbridges and active devices (HEMTs) at multiple biases.

Cree’s GaN foundry is the world’s first state-of-the-art, wide-bandgap MMIC facility, and our GaN-on-silicon carbide devices have significantly higher power density, thermal conductivity and operating voltage than traditional GaAs or Silicon MMIC technologies. RF designers can take advantage of this PDK to create MMICs for high-power commercial wireless, wideband military, electronic-warfare and radar applications.

“We are pleased to offer access to our GaN MMIC foundry capability through the Advanced Design System. This kit allows our customers to take advantage of an industry-leading electronic design automation (EDA) technology that provides seamless schematic through layout interoperability with design rule checking (DRC). This integrated design flow can help accelerate our customers’ time-to-market by offering an accurate and productive work environment,” said Jim Milligan, director of RF and microwave products at Cree.

“GaN is becoming more and more important in the industry. With Cree’s GaN process, our mutual customers have access to a powerful MMIC design solution in an integrated flow for leading-edge, high-power applications,” said Anitha Swaminathan, foundry program manager with Agilent’s EEsof EDA division.
For additional information about the Cree PDK, please call (919) 287-7816 or visit www.cree.com.

About Agilent
Agilent EEsof EDA is an industry-leading provider of RF-mixed signal circuit and system-design software. Agilent ADS offers powerful simulation, schematic and seamless integration with layout and DRC capability for complete front-to-back MMIC design in an integrated flow. For more information about Agilent's EDA solutions, visit www.agilent.com/find/eesof.

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 rapid development of new technology and competing products that may impair demand or render our products obsolete; the risk of uncertain demand and potential lack of customer acceptance for our products and services; 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.