The incorporation of nanotube-covered fibers in continuous fiber/epoxy composites has been shown to influence the mechanical, electrical, and thermal properties of the composite. Increased interlaminar shear stress, flexural strength and modulus have been reported in such composites over composites containing bare fibers. In this study, the microstructure and interfacial shear strength (ISS) of continuous silicon carbide fiber/epoxy composites with and without nanotubes grown from the SiC fiber surface were investigated with micro-Raman spectroscopy (MRS) and microscopy. The fibers with nanotubes grown from the surface were found to have a reduced ISS compared with the bare fibers. Electron microscopy showed good wetting of epoxy in the nanotube forests, but poor attachment of the nanotube forests to the fibers. These results suggest that the mechanism leading to improvements in bulk composite properties is not due to an improvement in the fiber/matrix ISS.