PRESS RELEASE

For further information contact:

Sheryl M. Gulizia
Manager, Public Relations
Silicon Image, Inc.
Phone: 408/616-1553
Fax: 408/830-9527


INTELLIGENT PANEL CONTROLLER SOLUTIONS FROM SILICON IMAGE GAIN TRACTION AMONG PANEL MANUFACTURERS

Silicon Image Nabs LG.Philips LCD Design Win For New SiI 243 IPC; Secures Additional Production Volume From Samsung

SUNNYVALE, Calif., March 27, 2001 — Silicon Image, Inc. (Nasdaq: SIMG), a price/performance leader in high-bandwidth semiconductor solutions for mass markets, today announced that its intelligent panel controller (IPC) solutions are gaining further traction in the market — as evidenced by recent design wins from leading panel manufacturers LG.Philips LCD Co., Ltd. (Kumi, Korea) and Samsung Electronics Co., Ltd. (Kihung, Korea). LG.Philips LCD is incorporating Silicon Image's new Transition-Minimized Differential Signaling (TMDS™)-based SiI™ 243™ IPC chip into a 15-inch XGA desktop flat panel, while Samsung is shipping higher volumes of 17-inch panels featuring Silicon Image's SiI 223™ IPC. The latter is based on Silicon Image's proprietary implementation of Low Voltage Differential Signaling (LVDS) technology.

According to market research firm DisplaySearch, Samsung, the leading TFT-LCD manufacturer worldwide in 2000 with 20.5 percent market share, shipped 6.26 million panels — a rapid 47 percent increase compared to the previous year. Reportedly, the main contributing factor was the success of its 17-inch panels. DisplaySearch also noted that LG.Philips LCD Co., Ltd. was the second largest TFT-LCD manufacturer with a market share of 14.0 percent.

Jun H. Souk, vice president of Samsung's LCD R&D, AMLCD Division, noted, "Silicon Image is a long-standing supplier for both panel controllers and discrete products. With increased OEM demand for our 17-inch panels for desktop monitor applications, we will continue to incorporate Silicon Image's proven IPC solutions. We have had much success with Silicon Image's IPC solutions, which have proven easy to implement and have offered us both cost and space savings. As the market leader in LCD production, it was critical that our supplier be able to accommodate our aggressive production ramp, and Silicon Image has committed to doing so."

Michael Kelley, vice president of marketing and business development for Silicon Image, noted, "We are the pioneer and leader in DVI receivers and are committed to offering our customers high-quality, cost-effective, integrated solutions as the DVI market grows. Toward this end, we have focused on adding greater functionality to our TMDS-based PanelLink¨ transmitter and receiver cores. Our proven IPC products for desktop and notebook flat panels are just one example of this strategy, and repeat business from the leading panel manufacturers indicates there is demand for our integrated solutions."

Silicon Image is the only supplier to offer both TMDS- and LVDS-based IPC solutions. The company was the first to integrate a DVI-compliant receiver with a timing controller, enabling panel vendors to replace three discrete parts with a single, integrated solution. Silicon Image's IPC solutions are programmable to accommodate commercially available column and row drivers.

The new SiI 243 IPC supports displays ranging from VGA (640x480) to XGA+ (1152x768). To reduce electromagnetic interference (EMI), the SiI 243 supports an external spread spectrum clock and incorporates a Transition Dependent Data Inversion (TDDI) algorithm. The SiI 243 also features frame rate control, or dithering, to convert 8-bit input data into 6-bit output data — allowing 6-bit column drivers to display true color (16 million colors).

Eddie Yeo, vice president and head of product development at LG.Philips LCD, noted, "In designing our latest flat panel, we wanted to incorporate integrated timing controller and DVI receiver functionality to save space on the panel, lower costs and shorten time-to-market. It was absolutely critical that our solution of choice offer high-performance, reliability and quality. Because of the high level of integration with the row and column drivers, customer support was very important. We chose Silicon Image because they are an existing supplier for both DVI receivers and earlier IPC products, and our previous experience shows us that they meet all of our key criteria."

Samsung panels featuring the SiI 223 are currently in production for multiple customers. LG.Philips will soon be shipping its panels featuring the SiI 243 to a U.S. OEM customer for inclusion in a new desktop display. The SiI 243 is packaged in a 120-pin TQFP package.


About Silicon Image

Headquartered in Sunnyvale, Calif., Silicon Image, Inc. designs, develops and markets high-speed semiconductor solutions for a variety of communications applications that require cost-effective, high-bandwidth capabilities. Leveraging Silicon Image's circuit innovation at the physical layer, the company's proprietary, reduced overhead Multi-layer Serial Link (MSL™) architecture is well suited to address a number of mass markets with aggressive bandwidth price/performance requirements — including the display, storage and networking sectors. Evidencing its success, Silicon Image has shipped more than 15 million high-bandwidth, low-cost semiconductor solutions to the PC market alone. For more information on Silicon Image and its proven multi-layered, high-speed interconnect technology, visit www.siimage.com

This news release contains forward-looking information within the meaning of federal securities regulations. These forward-looking statements include statements related to the mentioned companies' plans to incorporate the SiI 243 and SiI 223 into their products and the anticipated growth in the demand for flat panel displays. These forward-looking statements involve risks and uncertainties, including those described from time to time in Silicon Image's filings with the Securities and Exchange Commission (SEC), that could cause the actual results to differ materially from those anticipated by these forward-looking statements. In particular, design wins may not continue or yield either revenue or profits, the mentioned companies may incorporate other parties' solutions into their products, and the anticipated growth in demand for flat panel displays may fail to materialize, or Silicon Image may not be able to take advantage of any such growth. In addition, see "Management's Discussion and Analysis of Financial Condition and Results of Operations-Factors Affecting Future Results" in the most recent Annual Report, Form 10-K or 10-Q filed by Silicon Image with the SEC. Silicon Image assumes no obligation to update this forward-looking information.


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