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Pixelworks Gains 'Vendor Award for Excellence in Partnership' from
Hitachi Consumer Electronics (Co., Ltd.)

PORTLAND, Ore., May 19, 2010 (BUSINESS WIRE) --Pixelworks, Inc. (NASDAQ:PXLW), an innovative provider of powerful video and pixel processing technology, today announced that it has been presented with a 'Vendor Award for Excellence in Partnership' by the Digital Media Business Unit of Hitachi Consumer Electronics. This unit of Hitachi Consumer Electronics designs and manufactures a line of 3LCD video projection systems targeted at consumer and business projection applications.

Hitachi Consumer Electronics uses a number of Pixelworks devices in its projectors, including one of its newest offerings, the PWC950B Connected Display Processor. Combining Pixelworks' industry-leading DNX(R) (Digital Natural Expression) image-processing technology with all-new connectivity options, the PWC950B represents a significant advance in functionality for all-in-one image processors and allows projection system manufacturers such as Hitachi Consumer Electronics to develop and rapidly bring to market a feature rich, quality line-up of projectors for education and business institutions around the world at competitive prices.

In announcing the award, Shutoku Watanabe, President and Representative Director of Hitachi Consumer Electronics stated, "In 2009, Pixelworks exceeded our expectations for high quality and reduced time-to-market - both critical advantages in a market as dynamic and competitive as projection systems." "They made a remarkable contribution towards the expansion of our Digital Media Business Unit and the product development," he added.

"We are pleased to have received this award from Hitachi Consumer Electronics. Our partnership exemplifies what a close collaboration between a semiconductor company and a manufacturer can produce: innovative products incorporating cutting edge technology," said Bruce Walicek, President and CEO of Pixelworks. "Pixelworks pioneered image enhancement for the projection industry and we continue to invest in the technology, tools and talent to help our customers develop products with superior image quality."

About Pixelworks, Inc.

Pixelworks, headquartered in Portland, Oregon, is an innovative designer, developer and marketer of video and pixel processing technology, semiconductors and software for high-end digital video applications. At design centers in Shanghai and San Jose, Pixelworks engineers push pixel performance to new levels for leading manufacturers of consumer electronics and professional displays worldwide.

For more information, please visit the company's Web site at www.pixelworks.com

Pixelworks and DNX are registered trademarks of Pixelworks, Inc. All other trademarks are the property of their respective owners.

SOURCE: Pixelworks, Inc.

Pixelworks, Inc.
Steven Moore, 408-200-9221
smoore@pixelworks.com