In this study the three – dimensional surface cracking of a graded coating bonded to a homogeneous substrate is considered. The main objective is to model the subcritical crack growth process in the coated medium under a cyclic mechanical or thermal loading. Because of symmetry, along the crack front conditions of mode I fracture and plane strain deformations are assumed to be satisfied. Thus, at a given location on the crack front the crack propagation rate would be a function of the mode I stress intensity factor. A three – dimensional finite element technique for nonhomogeneous elastic solids is used to solve the problem and the displacement correlation technique is used to calculate the stress intensity factor.