To Make the cupcake Filling:
Mash together the 1 c. diced strawberries, sugar and vanilla with a potato masher.
Store in the refrigerator until ready to use.
To Make the frosting:
Let cream cheese and butter come to room temperature
Slice strawberries and add to a small saucepan with 1 Tablespoon powdered sugar and 1 tsp water.
Let mixture simmer on medium heat until reduced to ¼ cup. Keep stirring so mixture doesn't burn or stick to the pan.
Remove from heat and let cool.
Sift 2 cups of powdered sugar so frosting is smooth.
Add butter to a stand mixer and beat on medium speed for 2 minutes.
Add cream cheese and beat on medium speed for 2 minutes.
Add strawberry reduction and beat on medium speed for 2 minutes.
Add powdered sugar in three parts beating for 2 minutes on medium speed after each addition and scraping down the sides of the bowl before adding more sugar.
Once all the sugar has been added scrape down the bowl and stir to combine all ingredients.
Put frosting in the refrigerator for 2 hours or overnight before frosting the cupcakes.
To Make the cupcakes:
Preheat oven to 350
Line a cupcake pan with liners
Blend cake mix, water, oil, and eggs in a large bowl on low speed until just combined.
Beat at medium speed for two minutes.
Pour batter into cupcake pan
Bake 12-15 min, until a toothpick comes out clean, cool
Cut a 1 inch diameter hole in the top of the cupcake (just about half way through). Reserve tops.
Add 1 Tablespoon of strawberry filling to each cupcake and put the top back on.
Frost with strawberry cream cheese frosting.
Store in the refrigerator.