<ARTICLE>                                                           5
<CIK>                                                      0000895419
<NAME>                                            CREE RESEARCH, INC.
<MULTIPLIER>                                                    1,000
       
                                                                                   
<PERIOD-TYPE>                                                   3-MOS                          9-MOS
<FISCAL-YEAR-END>                                         JUN-28-1998                    JUN-28-1998
<PERIOD-START>                                            DEC-29-1997                    JUL-01-1997
<PERIOD-END>                                              MAR-29-1998                    MAR-29-1998
<CASH>                                                         17,633                         17,633
<SECURITIES>                                                      746                            746
<RECEIVABLES>                                                   8,136                          8,136
<ALLOWANCES>                                                      157                            157
<INVENTORY>                                                     2,577                          2,577
<CURRENT-ASSETS>                                               31,433                         31,433
<PP&E>                                                         41,339                         41,339
<DEPRECIATION>                                                  9,550                          9,550
<TOTAL-ASSETS>                                                 64,744                         64,744
<CURRENT-LIABILITIES>                                           6,614                          6,614
<BONDS>                                                             0                              0
<PREFERRED-MANDATORY>                                               0                              0
<PREFERRED>                                                         0                              0
<COMMON>                                                       48,869                         48,869
<OTHER-SE>                                                      3,245                          3,245
<TOTAL-LIABILITY-AND-EQUITY>                                   64,744                         64,744
<SALES>                                                        10,671                         30,983
<TOTAL-REVENUES>                                               10,671                         30,983
<CGS>                                                           6,940                         20,554
<TOTAL-COSTS>                                                   8,379                         25,290
<OTHER-EXPENSES>                                                    0                              0
<LOSS-PROVISION>                                                    0                              0
<INTEREST-EXPENSE>                                               (180)                          (513)
<INCOME-PRETAX>                                                 2,472                          6,206
<INCOME-TAX>                                                      717                          1,810
<INCOME-CONTINUING>                                             1,755                          4,396
<DISCONTINUED>                                                      0                              0
<EXTRAORDINARY>                                                     0                              0
<CHANGES>                                                           0                              0
<NET-INCOME>                                                    1,755                          4,396
<EPS-PRIMARY>                                                   0.13<F1>                      0.34<F1>
<EPS-DILUTED>                                                   0.13                          0.33
<FN>
EPS-BASIC
</FN>