Place watermelon cubes in a blender container or food processor bowl. Cover; blend or process till smooth. (There should be 3 cups of mixture). Stir in sugar. Combine gelatin and cranberry juice cocktail in a small saucepan. Let mixture stand 5 minutes. Cook and stir mixture over low heat till gelatin is dissolved. Stir gelatin mixture into watermelon mixture. Pour into an 8x8 baking pan. Cover; freeze about 2 hours or until firm. Break up the frozen mixture; place in a chilled mixer bowl. Beat with electric mixer on medium to high speed till mixture is fluffy. Return to pan. Cover and freeze 6 hours or till mixture is firm. Makes 8 servings.
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