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HDMI TO ACHIEVE DEEP COLOR, HIGHER SPEED AND GREATER PC CONVERGENCE

HDMI Achieves Dominance as the Worldwide Standard for Digital Connectivity as More Than 300 Vendors Adopt HDMI for Consumer Electronics and PC Products
LAS VEGAS, January 3, 2006 — The seven HDMI Founder companies (Hitachi, Ltd., Matsushita Electric Industrial Co., Ltd. (Panasonic), Philips Consumer Electronics International B.V., Silicon Image, Inc., Sony Corp., Thomson, Inc. and Toshiba Corp.) today highlighted key capabilities under development for the next version of High-Definition Multimedia Interface™ (HDMI™) targeted for the first half of 2006, including support for deep color, higher speed and easier integration into personal computers. By delivering crystal-clear, all-digital audio and video via a single cable, HDMI dramatically simplifies cabling and helps provide consumers with the highest-quality home theater experience.

New capabilities under development for HDMI include:

-- Higher speed: Though HDMI has more than twice the bandwidth needed to support all HDTV formats, HDMI will increase its single-link bandwidth to support the demands of future HD display devices, such as higher resolutions, deep color and high frame rates.
-- Deep color: HDMI will support 30-bit, 36-bit and 48-bit color depths for stunning rendering of over one billion colors in unprecedented detail.
-- Greater PC/CE convergence: HDMI will be enhanced for easier integration into low voltage, AC-coupled PC graphics controllers, cementing HDMI's position as the de facto standard digital multimedia interface enabling true convergence across PC and CE platforms. The HDMI Founders also support compatibility between HDMI and the Unified Display Interface (UDI), the HDMI-compatible digital video interface for PC displays announced recently by a group of leading PC technology makers.
-- New mini connector: With small portable devices such as HD camcorders and still cameras demanding seamless HDTV connectivity, HDMI will offer a new, smaller form-factor connector option. Since HDMI offers the highest quality digital audio and video on a single connection, such devices will be also benefit from a reduced connector count.
-- Lip Sync: CE devices are employing increasingly complex digital signal processing of high-resolution video and audio formats to enhance the clarity and detail of the content. As a result, synchronization of video and audio in user devices has become a greater challenge and could potentially require complex end-user adjustments. HDMI will incorporate features to enable this synchronization to be done automatically by the devices with greater accuracy.
-- New compressed audio formats: In addition to HDMI's current ability to support high-bandwidth uncompressed digital audio and all currently-available compressed formats (such as Dolby Digital and DTS), HDMI will add additional support for new compressed digital audio formats Dolby TrueHD and DTS-HD. Products implementing these new versions of the HDMI specification will continue to be fully backward compatible with earlier HDMI products.

"HDMI is an evolving standard, designed to meet the needs of a dynamic marketplace," said Leslie Chard, president of HDMI Licensing, LLC. "These new capabilities, currently under development, reflect how HDMI continues to adapt to new market developments, specifically the need for increased bandwidth and the inevitable convergence of consumer electronics with PC devices."

This announcement comes as HDMI solidifies its position as the de facto standard digital interface for HD and the consumer electronics market. HDMI Licensing LLC today announced that more than 300 makers of consumer electronics and PC products worldwide have adopted HDMI. More than 17 million devices featuring HDMI were shipped during 2005 and 59 million more are expected to ship in 2006, according to market researcher In-Stat.

Most major HDTV manufacturers have incorporated HDMI inputs into their latest offerings. HDMI has also been incorporated into media PCs, DVD players, DVD recorders, cable set-top boxes, satellite set-top boxes and A/V receivers, with HDMI expected in game consoles and camcorders during 2006.

Internationally, HDMI is undergoing significant growth. In China, which alone accounts for almost a third of the world's television-owning households, 45 mainland Chinese companies have become HDMI Adopters, and the number is growing rapidly. In November 2005, China's first HDMI testing facility was announced in Shenzen, which will greatly simplify and accelerate the process of bringing HDMI to the Chinese market. In August, the Cable and Satellite Broadcast Association of Asia (CASBAA) recommended that HDMI (or DVI) and HDCP "be included on every set-top box capable of outputting uncompressed high definition content." In Europe, the European Information & Communications Technology Industry Association (EICTA) in 2005 mandated that all HDTVs displaying the "HD Ready" logo must include HDMI or DVI inputs.

HDMI has also gained significant traction in the PC world over the past year. Among the PC-related companies that are HDMI Founders and Adopters are industry leaders such as ATI, Hitachi, Intel, Nvidia, Sony and Toshiba.

"The consistent adoption of the HDMI specification by consumer electronics and PC manufacturers proves the high potential of the standard," said Scott Vouri, general manager of multimedia products at NVIDIA. "We believe in the interoperability of consumer electronics devices and personal computers as well as in the ability to view high definition content through a stable and secure standard, and this is why we support HDMI in NVIDIA's consumer PC graphics products."

"Disney has supported the deployment of HDMI since the first version of the specification was issued in 2002," said Bob Lambert, senior vice president of worldwide media technology and development at The Walt Disney Company. "The widespread adoption of HDMI in conjunction with HDCP has played an important role in enabling the transition to digital TV. We congratulate the HDMI community on achieving the important milestone of 300 adopters worldwide."

The latest HDMI specification can be downloaded at no cost by visiting http://www.hdmi.org.

About HDMI Licensing, LLC
HDMI Licensing, LLC, a wholly owned subsidiary of Silicon Image, Inc., is the agent responsible for licensing the HDMI Specification, promoting the HDMI standard and providing education on the benefits of HDMI to retailers and consumers. The HDMI specification was developed by Hitachi, Matsushita (Panasonic), Philips, Silicon Image, Sony, Thomson and Toshiba as the digital interface standard for the consumer electronics market. The HDMI specification combines uncompressed high-definition video and multi-channel audio in a single digital interface to provide crystal-clear digital quality over a single cable. For more information about HDMI, please visit http://www.hdmi.org

Forward-looking Statements
This news release contains forward-looking information within the meaning of federal securities regulations. These forward-looking statements include statements related to the market for HDMI solutions, HDMI's adoption in the consumer electronics market, incorporation of HDMI into various standards, and the evolution, design and implementation of HDMI and such standards. 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, the growth and acceleration in the market for HDMI solutions, HDMI's adoption in such market, the incorporation of HDMI into standards, and the evolution, design and implementation of such standards, including the HDMI standard, may differ materially from what is currently anticipated. 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.

HDMI and High-Definition Multimedia Interface are trademarks of HDMI Licensing, LLC in the United States and other countries. All other trademarks and registered trademarks are the property of their respective owners.