August 07, 2008
Research Triangle Region-based Cree Leads Global LED Market

Research Triangle Region, N.C. - The words "silicon" and "semi-conductor" likely conjure images of California's Silicon Valley as the probable location for companies related to manufacturing those products. Yet Cree Inc., the world's leading manufacturer of semiconductor materials based on silicon carbide and other compounds, was born and bred in the Research Triangle Region of North Carolina.

Founded in Durham in 1987 by N.C. State graduates, Cree is a global market leader in light-emitting diode (LED) lighting, LED components and chips, power switching and wireless communications devices. These technologies are reinventing lighting - making it more energy-efficient than ever before. The company employs 2,578 employees worldwide (about half in the Research Triangle Region) with its headquarters in Durham,manufacturing facilities in Durham and China, and research facilities in The Research Triangle Park, California and China. Cree posted 2007 revenues of more than $394 million.

"Our mission is to make the light bulb obsolete," says Chris James, vice president for marketing and business development. "We're leading the LED lighting revolution. LEDs are the most energy-efficient and planet-friendly technologies available today for lighting. They save money, they save energy, and they are good for the environment."

Cree founders developed a process for mass-producing silicon carbide - an incredibly hard (and hard to manufacture) substance that is the backbone of all of Cree's businesses. Operating primarily with loans from family and friends, it made sense to start their company on home turf, James says.

"The Research Triangle Region offered a safe harbor for them to get started," he says. "It provided a good business environment and a strong intellectual talent pool from which to draw through N.C. State and other area universities."

The region has continued to provide valuable resources for the company's growth, says James, with an international airport offering regular flights to Europe and Asia and a strong economic development culture.

Cree went public in 1993 and continued to develop its product for applications in laser, microwave and semi-conductor technologies. Its first commercial success came in 1997 when Volkswagen chose Cree's blue LEDs exclusively for the dashboards of all its vehicles. LED lighting for cell phones and other products followed, leading to its current emphasis on lighting for new applications, including backlighting, video displays, and personal lighting (flashlights).

The company is expanding its LED business into general illumination and has its sights set on China as its next major market opportunity. The 2008 Olympics in Beijing will showcase five prominent LED applications: the National Aquatic Center, aka the "Water Cube;" exterior and interior lighting for the Beijing National Stadium, aka the "Bird's Nest;" which is the site of the opening and closing ceremonies; video screens outside Olympic venues; and giant video displays on the exterior of PanGu Plaza, which will house the international media.

Cree's focus on China is good news for the Research Triangle Regional Partnership (RTRP), which promotes economic development for the Research Triangle Region. Expanding business investments with China is a major focus of its international marketing strategy. Global companies, like Cree, can play a major role in developing business relationships that help the company and the region expand commerce.

For more information in Cree, visit www.cree.com.

The Research Triangle Regional Partnership (RTRP) a public/private partnership that promotes economic development for the 13-county region of North Carolina comprising Chatham, Durham, Franklin, Granville, Harnett, Johnston, Lee, Moore, Orange, Person, Vance, Wake and Warren counties. For more information on the region, visit www.researchtriangle.org or call (919) 840-7372.