EXHIBIT 16

                                       September 23, 1998

   
Securities and Exchange Commission
450 Fifth Street, N.W.
Washington, DC 20549

Ladies and Gentlemen:


We have read the statements made by Cree Research, Inc. which we understand will
be filed with the Commission, pursuant to Item 4 of Form 8-K, as part of the
Company's Form 8-K report for the month of September 1998. We agree with the
statements concerning our Firm in such Form 8-K.

We have no basis to agree or disagree with the Company's statements regarding
Ernst & Young LLP.

Yours very truly,

PricewaterhouseCoopers LLP