Sec Form 4 Filing - LAU YUE JOHN @ PIXELWORKS, INC - 2012-07-26

FORM 4 Check this box if no longer subject to Section 16. Form 4 or Form 5 obligations may continue. See Instruction 1(b).

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934, Section 17(a) of the Public Utility Holding Company Act of 1935 or Section 30(h) of the Investment Company Act of 1940

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1. Name and Address of Reporting Person LAU YUE JOHN 2. Issuer Name and Ticker or Trading Symbol PIXELWORKS, INC [ PXLW] 5. Relationship of Reporting Person(s) to Issuer (Check all applicable) _____ Director _____ 10% Owner X __ Officer (give title below) _____ Other (specify below) Sr. VP Foundry, IP & EDA (Last) (First) (Middle) 224 AIRPORT PARKWAY, SUITE 400 3. Date of Earliest Transaction (MM/DD/YY) 07/26/2012 (Street) SAN JOSE, CA95110 4. If Amendment, Date Original Filed (MM/DD/YY) 6. Individual or Joint/Group Filing (Check Applicable Line) __ X __ Form filed by One Reporting Person _____ Form filed by More than One Reporting Person (City) (State) (Zip)

Table I - Non-Derivative Securities Acquired, Disposed of, or Beneficially Owned 1.Title of Security (Instr. 3) 2. Transaction Date (MM/DD/YY) 2A. Deemed Execution Date, if any (MM/DD/YY) 3. Transaction Code (Instr. 8) 4. Securities Acquired (A) or Disposed of (D) (Instr. 3, 4 and 5) 5. Amount of Securities Beneficially Owned Following Reported Transaction(s) (Instr. 3 and 4) 6. Ownership Form: Direct (D) or Indirect (I) (Instr. 4) 7. Nature of Indirect Beneficial Ownership (Instr. 4) Code V Amount (A) or (D) Price Common Stock 07/26/2012 A 11,500 A 42,878 D

Table II - Derivative Securities Acquired, Disposed of, or Beneficially Owned ( e.g. , puts, calls, warrants, options, convertible securities) 1. Title of Derivative Security (Instr. 3) 2. Conversion or Exercise Price of Derivative Security 3. Transaction Date (MM/DD/YY) 3A. Deemed Execution Date, if any (MM/DD/YY) 4. Transaction Code (Instr. 8) 5. Number of Derivative Securities Acquired (A) or Disposed of (D) (Instr. 3, 4, and 5) 6. Date Exercisable and Expiration Date (MM/DD/YY) 7. Title and Amount of Underlying Securities (Instr. 3 and 4) 8. Price of Derivative Security (Instr. 5) 9. Number of Derivative Securities Beneficially Owned Following Reported Transaction(s) (Instr. 4) 10. Ownership Form of Derivative Security: Direct (D) or Indirect (I) (Instr. 4) 11. Nature of Indirect Beneficial Ownership (Instr. 4) Code V (A) (D) Date Exercisable Expiration Date Title Amount or Number of Shares Incentive Stock Option (right to buy) $ 49.5 ( 2 ) 01/02/2012 Common Stock 7,460 7,460 D Non-Qualified Stock Option (right to buy) $ 0.6 ( 3 ) 03/23/2019 Common Stock 100,000 100,000 D Non-Qualified Stock Option (right to buy) $ 2.28 ( 3 ) 02/28/2018 Common Stock 6,481 6,481 D Non-Qualified Stock Option (right to buy) $ 2.36 ( 3 ) 02/09/2018 Common Stock 50,000 50,000 D Non-Qualified Stock Option (right to buy) $ 3.13 ( 3 ) 02/10/2016 Common Stock 45,000 45,000 D Non-Qualified Stock Option (right to buy) $ 3.48 ( 3 ) 02/10/2017 Common Stock 60,000 60,000 D Non-Qualified Stock Option (right to buy) $ 7.47 ( 3 ) 12/04/2016 Common Stock 25,000 25,000 D Non-Qualified Stock Option (right to buy) $ 15.06 ( 4 ) 02/15/2016 Common Stock 16,666 16,666 D Non-Qualified Stock Option (right to buy) $ 22.71 ( 5 ) 01/31/2013 Common Stock 16,666 16,666 D Non-Qualified Stock Option (right to buy) $ 25.5 ( 6 ) 04/02/2011 Common Stock 13,333 13,333 D Non-Qualified Stock Option (right to buy) $ 28.44 ( 7 ) 03/04/2015 Common Stock 8,333 8,333 D Non-Qualified Stock Option (right to buy) $ 46.23 ( 8 ) 03/09/2014 Common Stock 13,333 13,333 D Non-Qualified Stock Option (right to buy) $ 49.5 ( 2 ) 01/02/2012 Common Stock 9,206 9,206 D

Reporting Owners Reporting Owner Name / Address Relationships Director 10% Owner Officer Other LAU YUE JOHN 224 AIRPORT PARKWAY SUITE 400 SAN JOSE, CA95110 Sr. VP Foundry, IP & EDA Signatures By: Andrew P. Bates For: John Yue Lau 07/30/2012 Signature of Reporting Person Date

Explanation of Responses:

( 1 )Each restricted stock unit represents a contingent right to receive one share of the registrant's common stock. The restricted stock units will vest 50% on the first anniversary of the grant date and 50% on the second anniversary of the grant date. ( 2 )The options become exercisable on a monthly basis over a 4-year period which commenced on January 31, 2002, as follows: 10% exercisable as of January 31, 2003, 20% exercisable as of January 31, 2004, 30% exercisable as of January 31, 2005 and 40% exercisable as of January 31,2006. ( 3 )Becomes exercisable on a monthly basis over 3 years, commencing the last day of the month of the date of grant. ( 4 )The options become exercisable on a monthly basis over a 4-year period which commences February 15, 2006, as follows: 10% exercisable as of February 15, 2007, 20% exercisable as of February 15, 2008, 30% as of February 15, 2009 and 40% exercisable as of February 15, 2010. ( 5 )The options become exercisable on a monthly basis over a 4-year period which commenced on January 31, 2002, as follows: 10% exercisable as of January 31, 2003, 20% exercisable as of January 31, 2004, 30% exercisable as of January 31, 2005 and 40% exercisable as of January 31,2006. ( 6 )The options become exercisable on a monthly basis over a 4-year period which commenced on April 30, 2001, as follows: 10% exercisable as of April 30, 2002, 20% exercisable as of April 30, 2003, 30% exercisable as of April 30, 2004 and 40% exercisable as of April 30,2005. ( 7 )The options become exercisable monthly over a 4-year period which commenced on March 4, 2005, with 10% becoming exercisable by March 4, 2006, 20% becoming exercisable by March 4, 2007, 30% becoming exercisable by March 4, 2008, and 40% becoming exercisable by March 4, 2009. ( 8 )The option becomes exercisable on a monthly basis over a four year period which commences on March 31, 2004 as follows: 10% exercisable as of March 31, 2005, 20% exercisable as of March 31, 2006, 30% exercisable as of March 31, 2007, and 40% exercisable as of March 31, 2008.

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