Exhibit 11

ESS Technology, Inc.

Computation of Net Income Per Share (1)
(In thousands, except per share amounts)

	December 31,
	2004			2003		2002
Weighted average common shares		39,476			39,517		44,044
Weighted average incremental common equivalent shares:
Common stock (2)		—			1,721		2,687
Total weighted average common and common equivalent shares		39,476			41,238		46,731
Net income (loss)	$	(35,550	)	$	25,291	$	37,277
Net income (loss) per share	$	(0.90	)	$	0.61	$	0.80

(1)	This Exhibit should be read in conjunction with Note 12, “Shareholders’ Equity,” to the consolidated financial statements in Item 8 of this Report.
(2)	Earnings per share is computed using the weighted average number of common shares and common equivalent shares (“weighted average shares”) outstanding during the period. Common equivalent shares consist of the Company’s common stock issuable upon exercise of stock options (using the treasury stock method), except when antidilutive.