Document:

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                                                                     Exhibit 4.6

                                GIGAMEDIA LIMITED

                        2004 EMPLOYEE SHARE OPTION PLAN

1.   Purposes of the Plan

     The purposes of this Share Option Plan (the "Plan") are to attract and
     retain the best available personnel for positions of substantial
     responsibility and to provide additional incentives to Employees of
     GigaMedia Limited and its Subsidiaries for achieving excellence in their
     work performance.

2.   Definitions

     "Board" shall refer to the Board of Directors of the Company.

     "Committee" shall refer to the Committee appointed by the Board of the
     Company pursuant to Section 4.1 hereunder to administer the Plan.

     "Company" shall refer to GigaMedia Limited, a company incorporated and
     existing under the laws of the Republic of Singapore with its registered
     office at 8 Robinson Road, #6-00, ASO Building, Singapore 048544.

     "Continuous Status as an Employee" shall refer to the absence of any
     interruption or termination of the employment relationship by the Employer.
     Continuous Status as an Employee shall not be considered interrupted in the
     case of; (1) sick leave; (ii) military leave; (iii) any other leave of
     absence approved by the Committee, provided that such leave is for a period
     of not more than ninety (90) days, unless reemployment upon the expiration
     of such leave is guaranteed by contract or statute, or unless provided
     otherwise pursuant to the policy of the Employer adopted from time to time;
     or (iv) in the case of transfers between locations of the Employer or
     between the Employers.

     "Employee" shall refer to any employee, officer, director, supervisor,
     advisor or consultant of the Employer.

     "Employer" shall refer to the Company and/or its Subsidiaries.

     "Fair Market Value" shall refer to the value of Shares determined as
     follows:

     (a)  If the Shares are listed on stock exchange, its Fair Market Value
          shall be the closing sales price.

     (b)  In the absence of an established market for the Shares, the Fair
          Market Value thereof shall be determined in good faith by the
          Committee.

     "Option" shall refer to a right to subscribe for shares of the Company
     granted under this Plan.

     "Option Agreement" shall refer to the Share Option Agreement entered into
     by and between the Company and the Optionee per form and substance of
     Exhibit A for granting Options.

     "Optionee" shall refer to the Employee who is designated by the Committee
     to receive the Option granted under the Plan.

     "Plan" shall refer to GigaMedia Limited 2004 Employee Share Option Plan.

     "Shares" shall refer to the ordinary shares in the capital of the Company
     designated by the Committee for the administration of the Plan.

     "Subsidiaries" shall refer to the Subsidiaries in which the Company owns,
     directly or indirectly, more than 50% of common shares.

3.   Shares Available for Options

     Unless otherwise provided in the Plan or determined by the Board, the
     maximum aggregate number of Shares which may be optioned and sold under the
     Plan is 7,000,000 Shares. Shares to be delivered under the Plan shall be
     authorized and issued. If an Option expires or becomes unexercisable for
     any reason without being exercised in full, the unsubscribed Shares subject
     to such Option shall become available for future grant under the Plan.
     Exercise of an Option in any manner shall result in a decrease in the
     number of Shares which thereafter may be available, both for purposes of
     the Plan and for issue under the Option by the number of Shares as to which
     the Option is exercised. The Company, during the term of this Plan, shall
     at all time reserve and keep available such number of Shares as shall be
     sufficient to satisfy the requirement of the Plan.

4.   Administration of the Plan

4.1  Administration Generally

     The Plan shall be administered by a Committee designated by the Board,
     which Committee shall be constituted in such a manner as to satisfy the
     legal requirements relating to the administration of the Plan

<PAGE>

     under applicable laws and regulations. Once appointed, such Committee shall
     continue to serve in its designated capacity until otherwise directed by
     the Board. From time to time the Board may increase the size of the
     Committee and appoint additional members, remove members (with or without
     cause) and appoint new members in substitution therefor, fill vacancies,
     however caused, and remove all members of the Committee and thereafter
     directly administer the Plan, to the extent permitted by the applicable
     laws and regulations.

4.2  Powers of the Committee

     Subject to the provisions of the Plan and the authorization given by the
     Board, the Committee shall have the authority, in its discretion:

     (a)  to determine the Fair Market Value of the Shares, in accordance with
          the definition of Fair Market Value as stated in Section 2 of the
          Plan;

     (b)  to select the Employees to whom Options shall be granted hereunder;

     (c)  to determine whether and how many Options shall be granted hereunder;

     (d)  to approve instruments or documents to be used under the Plan,
          including the Option Agreement;

     (e)  to determine the terms and conditions, subject to the terms of the
          Plan, of any Option granted hereunder (including, but not limited to,
          the share price and any restriction or limitation, vesting schedules
          or other restrictions regarding any Option and/or the Shares relating
          thereto), provided that the term of the Option (i.e. the period the
          Option remains exercisable) shall not exceed the maximum period of
          time permitted under the applicable laws;

     (f)  to determine whether and under what circumstances an Option may be
          exercised and Shares may be transferred in compliance with the laws of
          the Republic of Singapore;

     (g)  to interpret and administer the Plan and any instrument or document
          relating to the Plan; and

     (h)  to make any other determination and take any other action that the
          Committee deems necessary or desirable for the administration of the
          Plan.

     All decisions, determinations and interpretations of the Committee shall be
     final and binding on all persons, including the Company, the Company's
     Subsidiaries, any Optionee and any other holder or beneficiary of an Option
     or the Employee.

4.3  The Committee may delegate to one or more managerial officers of the
     Company or its Subsidiaries or to a committee composed of such managerial
     officers the authority to administer the Plan with respect to employees
     other than managerial officers pursuant to the authorization given by the
     Committee.

4.4  Each Option granted under the Plan shall be evidenced by an Option
     Agreement specifying the terms and conditions of the Option and any rules
     applicable thereto.

5.   Eligibility

5.1  Options may be granted to the Employees of the Employer as determined by
     the Committee, pursuant to the Option Agreement executed by the Optionee
     and the Company. The Committee shall have sole and complete authority to
     determine the Employees to whom Options shall be granted, the number of
     Shares to be covered by each Option and the conditions and limitations
     applicable to the exercise of the Option.

5.2  No Employee or other persons shall have any claim to be granted any Option,
     and the Employee's exercise of any Option is subject to the restrictions
     imposed by the Committee as it may deem advisable under the Plan, local
     laws and regulations, the requirements of the stock exchange on which the
     stocks of the Company are listed and other applicable rules, laws and
     regulations. There is no obligation for the Company to treat all the
     Employees, holders or beneficiaries of Options under the same terms and
     conditions.

5.3  The eligibility for Options awarded under the Plan are conditioned upon an
     Employee's Continuous Status as an Employee and the Options granted under
     the Plan are subject to Section 10 of this Plan. However, nothing contained
     in the Plan or the Option Agreement nor any Option granted hereunder shall
     confer upon any Optionee the right to continuation of employment or
     consulting relationship with the Employer or interfere in any way with the
     Employee's right or the Employer's right to terminate his employment or
     consulting relationship at any time, with or without cause.

6.   Term of Plan

     The Plan shall become effective upon the adoption by the Shareholders of
     the Company in General Meeting. It shall continue in effect until the date
     on which all shares available for issue under the Plan have been issued as
     fully-vested shares, or the termination of all outstanding options in
     connection with a merger under Section 9.3, or terminated under Section 11
     of the Plan, or the elapsing of ten years from the effective date,
     whichever is earlier.
<PAGE>

7.   Option Exercise Price and Consideration

7.1  The per Share exercise price shall be no less than the par value of a
     Share.

7.2  The payment of the consideration for the Shares to be issued upon exercise
     of an Option shall be determined by the Committee and, subject to the
     discretion of the Committee, may consist entirely of (1) cash, (2) check,
     (3) any combination of the foregoing methods of payment, or (4) such other
     considerations and methods of payment for the transfer of Shares to the
     extent permitted under applicable laws and regulations or the rules or
     regulations of the stock exchange on which the Shares of the Company are
     listed.

7.3  All taxes (including income tax) arising from the exercise of any Option by
     an Optionee under the Plan shall be borne by the Optionee. The Optionee
     shall be required to pay to the Company or its Subsidiaries the amount of
     any applicable withholding taxes arising out of an Option, including but
     not limited to the exercise of Options or transfer of shares, under the
     Plan, if applicable; otherwise, the Company or its Subsidiaries shall have
     the right and is hereby authorized to withhold from any compensation,
     amount or value owing to the Optionee the amount or value equal to the
     amount of tax due and to take such other actions as may be necessary in the
     opinion of the Company to satisfy all obligations for the payment of such
     taxes, if required by applicable law.

8.   Exercise

8.1  An Option shall be exercised in accordance with the terms and conditions
     listed in the Option Agreement or otherwise directed by the Committee in
     writing. An Option may not be exercised for a fraction of a share. An
     Option shall be deemed to be exercised upon the Company's receipt of a
     written notice of such exercise made in accordance with the terms of the
     Option Agreement under which the Option is granted and the full payment for
     the Shares to be issued. Full payment may, as authorized by the Committee,
     consist of any consideration and method of payment allowable under Section
     7.2 of the Plan. The Optionee, holder or the beneficiary of the option are
     not entitled to exercise the right to vote or receive dividends or any
     other rights as a shareholder with respect to the Shares subject to the
     Option notwithstanding the exercise of the Option until the issuance (as
     evidenced by the appropriate entry on the books of the Company or of a duly
     authorized transfer agent of the Company) of the share certificates
     evidencing such Shares. The Company shall issue (or cause to be issued)
     such share certificates promptly upon exercise of the Option.
     Notwithstanding any provision contained herein, the Committee and the
     Company shall not under any circumstances be held liable for any cost,
     losses, expenses and damages arising in any event, including but not
     limited to the Company's delay in issuing the Shares. The Optionee is not
     entitled to any adjustment for dividends or other rights of which the
     Record Date is prior to the date the share certificate is issued, unless
     otherwise provided in the Plan. For the purpose of this sub-Section, the
     term "Record Date" refers to the date fixed by the Company for the purposes
     of determining entitlements to dividends or other distributions to or
     rights of shareholders.

8.2  Conditions Upon Transfer of Shares

     Shares shall not be issued pursuant to the exercise of any Option unless
     the exercise of such Option and the delivery of such Shares shall comply
     with all relevant provisions of applicable laws and regulations, the
     requirements of the stock exchange on which the shares of the Company are
     listed and shall be further subject to the approval of counsel for the
     Company with respect to such compliance. Each Option shall be exercisable
     at such times and subject to such terms and conditions as the Committee
     may, in its sole discretion, specify in the applicable Option Agreement or
     other written instruments in relation to the Plan. The Committee may impose
     such conditions to the exercise of Options, including, without limitation,
     any relating to the application of the local laws and regulations, the
     requirements of the stock exchange on which the shares of the Company are
     listed or other applicable laws or regulations, as it deems necessary or
     advisable. The inability of the Company to obtain authority from any
     regulatory body and/or self-regulatory organization having jurisdiction
     over the Company or its Subsidiaries, which authority is deemed by the
     Company's counsel to be necessary to the lawful sale of any shares
     hereunder, shall relieve the Company of any liability in respect of the
     failure to issue such Shares.

9.   Adjustment

9.1  In order to prevent dilution or enlargement of the benefits or potential
     benefits intended to be made available to the Employees under the Plan, and
     subject to any required action by the shareholders and the Board of the
     Company and the terms and conditions of the Plan, the Committee shall
     adjust the number of Shares subject to outstanding Options or Options to be
     granted and the grant or exercise price of any Option for any increase or
     decrease in the number of issued shares resulting from a scrip dividend,
     combination or reclassification of the Shares, reorganization, merger,
     consolidation, split-up, spin-off, combination, exchange of Shares or other
     securities of the Company or other similar events.

9.2  Upon any adjustment required to be made pursuant to Section 9.1, the
     Company shall notify the Optionee in writing and deliver to him a statement
     setting forth the exercise or grant price thereafter in effect and the
     class and/or number of Shares thereafter to be issued on the exercise of
     the Option. Any adjustment shall take effect upon such written notification
     being given.

9.3  In the event of the proposed dissolution or liquidation of the Company, the
     Board shall notify the Optionee at least 10 days prior to such proposed
     action. Options not exercised shall terminate immediately prior to the
     consummation of such proposed action. In the event of a merger of the
     Company with or into another corporation, the Option shall be assumed or an
     equivalent option shall be substituted by such successor corporation. In
     the event that such successor corporation does not agree to assume the
     Option or the

<PAGE>

     substitute of an equivalent option, the Optionees shall be entitled to
     exercise all the Options that are exercisable on the date of the proposed
     merger during a reasonable period of time as determined by the Committee.
     The Committee shall notify the Optionees in writing of the fact that the
     Option shall be fully exercisable during a given period of time, and the
     Options will terminate upon expiration of such period.

10.  If the Optionee's employment with the Employer is terminated for any reason
     howsoever arising, the rights (if any) of the Optionee or his successor (as
     in the case of the Optionee's death) to exercise any Option and if so, the
     terms on which such rights may be exercised, shall, unless otherwise
     specified in the Option Agreement, be determined at the sole discretion of
     the Committee.

11.  Amendment and Termination.

11.1 The Board may amend, alter, suspend, discontinue or terminate the Plan or
     any portion thereof at any time; provided that no such amendment,
     alteration, suspension, discontinuation or termination shall be made
     without shareholder's approval if such approval is necessary under
     applicable laws or regulations. Notwithstanding anything to the contrary
     herein, the Board may amend the Plan in such manner as necessary to make
     the Plan in conformity with local rules and regulations in any
     jurisdiction.

11.2 The Committee may waive or amend any terms of, or alter, suspend,
     discontinue, cancel or terminate any Option granted hereunder,
     prospectively or retroactively, provided that the Optionee being adversely
     affected by such change consents in writing to such change of the Options.

12.  The Option may not be sold, pledged, assigned, disposed, transferred, or
     encumbered of in any manner other than by will or by the laws of descent or
     distribution and may be exercised, during the lifetime of the Optionee,
     only by the Optionee.

13.  The Company shall provide to each Optionee, during the period for which
     such Optionee has one or more Options outstanding, copies of all annual
     reports and other information which are provided to all shareholders of the
     Company.

14.  Nothing contained in the Plan shall prevent the Company or its Subsidiaries
     from adopting or continuing in effect other compensation arrangements which
     may or may not provide for the grant of options of shares.

15.  The grant of an Option or any thing contained in the Plan or the Option
     Agreement shall not be construed as conferring upon the Optionees any right
     with respect to continuation of employment by the Company, nor shall it
     interfere in any way with the Employer's right to terminate the employment
     at any time, with or without cause. The terms of employment of an Employee
     shall not be affected by the execution of the Plan. The Options granted
     under the Plan shall not form a part of the terms of employment of an
     Employee or entitle him to take into account the Options granted under the
     Plan in calculating any compensation or damages on the termination of his
     employment for any reason.

16.  The validity, interpretation and application of the Plan shall be governed
     by the laws of the Republic of Singapore.

17.  Any provision of this Plan or the Option Agreement which is invalid or
     unenforceable in whole or in part or shall cause the disqualification of
     the Company from the application of any laws, regulations, rules or
     requirements of which the qualification is deemed necessary by the Board,
     shall be construed in a way that will satisfy the requirements under such
     laws, regulations and requirements. If it cannot be so construed, such
     provision shall be severable in whole or part from the Plan or the Option
     Agreement, so that such invalidity, unenforceability or disqualification
     shall not affect any other provision hereof.

18.  The Plan or the Option Agreement shall not be construed as creating a trust
     or separate fund of any kind or a fiduciary relationship between the
     Company or its Subsidiaries and an Optionee or any other person. The right
     of any person to receive payments from the Company under the Plan or the
     Agreement shall be no greater than the right of any unsecured general
     creditor of the Company.

<PAGE>

Exhibit A Option Agreement

                             SHARE OPTION AGREEMENT

This SHARE OPTION AGREEMENT ("Agreement") is entered into on [Date] by and
between GigaMedia Limited ("Company"), a company incorporated in and existing
under the laws of the Republic of Singapore, with its registered office business
at 8 Robinson Road, #6-00, ASO Building, Singapore 048544 and [Name]
("Optionee"), a citizen of [Nationality] residing at __________________________.

WHEREAS, the Company agrees to award to Optionee and Optionee agrees to accept
an option ("Option") to purchase shares ("Shares") in the capital of the Company
under the GigaMedia Limited 2004 Employee Share Option Plan ("Plan").

NOW, THEREFORE, subject to the terms and conditions stated in the Agreement and
the Plan, the parties agree as follows:

1.   Plan

     The award of the Option granted hereunder is subject to the terms and
     conditions stated in the Plan, the terms of which are hereby incorporated
     into this Agreement. Terms used in this Agreement which are not defined
     herein shall have the meanings as defined in the Plan.

2.   Grant of Option

     The Company hereby grants to the Optionee and the Optionee agrees to accept
     from the Company the Option to purchase a total number of Shares as set
     forth in Annex A, Notice of Grant, at the price specified in Annex A
     ("Exercise Price") pursuant to the terms of the Plan and this Agreement.

3.   Exercise of Option

     Upon vesting of the Option pursuant to the Vesting Schedule listed in Annex
     A, the Option shall be exercisable, in whole or in part, during its term
     and subject to the provisions of Section 10 of the Plan. The Option shall
     be exercised by a written notice to the Company stating the election to
     exercise the Option, the number of Shares in respect of which the Option is
     being exercised, and such other representations and agreements as to the
     holder's investment intent with respect to such Shares as may be required
     by the Company per form and substance of Annex B. Such written notice shall
     be signed by the Optionee and shall be delivered in person or by certified
     mail to the Company. The written notice shall be accompanied by payment of
     the exercise price.

4.   Method of Payment

     Payment of the exercise price shall be made in accordance with Section 7.2
     of the Plan. No Share shall be issued pursuant to any exercise of the
     Option until payment has been made in full of the Exercise Price for the
     Shares in respect of which the Option is being exercised to the Company.

5.   Restrictions on Exercise

5.1  No Shares will be issued pursuant to the exercise of the Option unless such
     issuance and such exercise shall comply with all relevant provisions of law
     and the requirements of any stock exchange upon which the shares of the
     Company are listed as determined by the counsel of the Company. The
     inability of the Company to obtain authority from any regulatory body
     and/or self-regulatory organization having jurisdiction over the Company,
     which authority is deemed by the Company's counsel to be necessary to the
     lawful issuance of any shares hereunder, shall relieve the company of any
     liability in respect of the failure to sell such Shares.

5.2  This Option may not be exercised for a fraction of a share.

5.3  Once vested, this Option may be exercised up to the expiration date of the
     term of this Option as set forth in Annex A.

5.4  As a condition to the exercise of this Option, the Company may require the
     Optionee to make any representation and warranty to the Company as may be
     required by any applicable laws and regulations.

6.   Termination of Employment

6.1  In the event of termination of the Optionee's employment with the Company
     or the subsidiary of the Company (the "Subsidiary") for reasons other than
     due to gross negligence, willful misconduct or criminal offense of the
     Optionee, the Optionee shall have the right to exercise the Option
     following such termination of employment to the extent it is exercisable at
     the date of such termination of employment and has not been exercised,
     subject to Section 5.3 of this Agreement.

6.2  Subject to Section 6.1 of this Agreement, if an Optionee's employment with
     the Employer is terminated by reason of death or permanent and total
     disability, the Optionee or its successor, in the case of the Optionee's
     death, shall have the right to exercise the Option following such
     termination of employment to the extent it

<PAGE>

     was exercisable at the date of such termination of employment and has not
     been exercised, subject to Section 5.3 of this Agreement.

7.   Obligations of Optionee

     The Optionee agrees to cooperate with the Company and promptly complete and
     deliver all documents, forms and other materials, and timely take all
     action, as may be requested by Company in connection with this Option. The
     Optionee agrees to pay all processing charges, fees, taxes and other
     governmental assessments or charges, transaction costs, and other costs in
     relation to the Option.

8.   Non-transferability.

     This Option may not be transferred in any manner except by will or by the
     laws of descent or distribution and may be exercised during the lifetime of
     Optionee only by him. The terms of this Option shall be binding upon the
     executors, administrators, heirs and successors of the Optionee.

9.   No Rights as a Shareholder.

     The Optionee is not entitled to exercise the right to vote or receive
     dividends or other rights as a shareholder with respect to any Shares
     subject to the Option granted hereunder prior to the issuance of the
     Shares.

10.  Other Laws.

10.1 The Committee may refuse to issue any Shares, if, acting in its sole
     discretion, it determines that the issuance or transfer of such Shares
     might violate any applicable law or regulation or entitle the Company to
     recover under Section 16(b) of the Exchange Act of the United States, and
     in such event any payment tendered to the Company by an Optionee, other
     holder or beneficiary in connection with the exercise of such Option shall
     be promptly refunded to the relevant Optionee, holder or beneficiary.
     Without limiting the generality of the foregoing, the Option granted
     hereunder shall be construed as an offer to acquire or to sell Shares of
     the Company, and no such offer shall be outstanding, unless and until the
     Committee in its sole discretion has determined that any such offer, if
     made, would be in compliance with all applicable requirements of the U.S.
     federal securities laws and any other laws to which such offer, if made,
     would be subject.

10.2 If at any time the Committee shall determine in its discretion that the
     Shares subject to the Option granted hereunder must be listed or qualified
     on any securities exchange or registered or qualified under any applicable
     law or that the consent or approval of any governmental regulatory body is
     necessary or desirable as a condition of, or in connection with the
     granting of the Option, or the delivery or purchase of Shares pursuant to
     the Option, such Option may not be exercised in whole or in part unless
     such listing, registration, qualification, consent or approval shall have
     been effected or obtained.

11.  No Rights to Continuation of Employment

     Nothing in this Agreement, nor in the Plan which is incorporated herein by
     reference, shall confer upon the Optionee any right with respect to
     continuation of employment by the Company or the Subsidiary, nor shall it
     interfere in any way with the right of the Company or the Subsidiary to
     terminate his employment at any time, with or without cause.

12.  Notices

     Any notice given under this Agreement or the Plan shall be in writing and
     shall be deemed to have been duly given, if delivered by hand with proof of
     receipt, at the time of receipt, or if communicated by facsimile, cable or
     similar electronic means to the facsimile number or cable/electronic
     identification number as provided below, at the time that receipt thereof
     has been confirmed by return electronic communication or signal that the
     message has been clearly received, or if mailed by postage prepaid and
     registered mail with acknowledgment of receipt to the addresses of the
     parties as set forth below:

     to the Company
     GigaMedia Limited
     Address: 14F, 122, Duenhua N. Rd., Sungshan Chiu, Taipei, Taiwan, R.O.C.
     Fax: 886-2-87707826
     Attention: Human Resources Department

     to the Optionee
     Name:
     Address:
     Fax:

13.  Governing Law

     The Agreement and the Plan will be governed by and construed in accordance
     with the laws of the Republic of Singapore, without regard to conflicts of
     law principles that would result in the application of the law of another
     jurisdiction. By executing this Agreement, the Optionee agrees to submit to
     the jurisdiction of the courts of Singapore for any dispute arising out of
     the Plan and the Agreement.

<PAGE>

14.  Counterparts

     This Agreement may be executed in duplicates, each of which shall be deemed
     an original, but which together shall constitute a single instrument.

IN WITNESS WHEREOF, the Company and the Optionee have duly executed and
delivered this Agreement on the date first above written.

<TABLE>
<S>                                              <C>

The Company                                      The Optionee

GigaMedia Limited

By _________________________                     __________________________
Name:                                            Name:
Title: Director                                  Passport No.:

</TABLE>

<PAGE>

Annex A Notice of Grant

                               GIGAMEDIA LIMITED
                        2004 EMPLOYEE SHARE OPTION PLAN
                                NOTICE OF GRANT

[Optionee's Name and Address]

You have been granted a Nonstatutory Share Option to purchase Shares of
GigaMedia Limited as follows:

Grant No.
Date of Grant
Exercise Price Per Share
Total Number of Shares Granted
Total Price of Shares Granted
Term/Expiration Date:
Vesting Schedule:

      DATE OF VESTING                              NUMBER OF SHARES

Exercise Schedule:           Subject to the terms and conditions of the Plan and
                             the Agreement, the Option becomes exercisable upon
                             vesting.  In addition, the Option shall expire and
                             may not be exercised after the Expiration Date.

<PAGE>

Annex B Exercise Notice

                               GIGAMEDIA LIMITED
                        2004 EMPLOYEE SHARE OPTION PLAN
                                EXERCISE NOTICE

GigaMedia Limited
14F, 122, Duenhua N. Rd., Sungshan Chiu, Taipei, Taiwan, R.O.C.
Attention:  Human Resources Department

     1. Effective as of today, __________________________, the undersigned
("Optionee") hereby elects to exercise the Optionee's option to purchase
____________ shares (the "Shares") in the capital of GigaMedia Limited (the
"Company") under and pursuant to the Company's 2004 Employee Share Option Plan
(the "Plan") and the Share Option Agreement dated _____________ (the "Option
Agreement").

     2. The Optionee understands and acknowledges that the subscription of the
Shares is subject to the terms and conditions of the Plan and Option Agreement,
applicable local and foreign laws and regulations as determined by the Board,
and the requirement of the stock exchange on which the shares of the Company are
or may hereafter be listed. The Optionee agrees to cooperate with the Company to
ensure compliance with such laws and requirements.

     3. The Optionee agrees to pay any applicable taxes and transaction costs in
relation to the exercise of the Option.

     4. The Optionee agrees to execute such further instruments and to take such
further action as may be reasonably necessary to carry out the purposes and
intent of this Agreement.

     5. The Optionee herewith delivers to the Company the full Exercise Price
for the Shares.

<TABLE>
<S>                          <C>                             <C>

Submitted by                 Grant No.                       ___________________

Optionee                     Date of Grant                   ___________________

                             Exercise Price Per Share        ___________________

____________________         Total Number of Shares Granted  ___________________
Name:
Passport No.                 Term/Expiration Date            ___________________
Address:
                             Number of Shares on which the
                             Option has been exercised       ___________________

                             Total Exercise Price            ___________________

</TABLE><PAGE>
                                                                     Exhibit 4.7

                               GIGAMEDIA LIMITED

                          EMPLOYEE SHARE PURCHASE PLAN

                                   ARTICLE I

                            PURPOSE; EFFECTIVE DATE

     1.01 The purpose of this GigaMedia Limited Employee Share Purchase Plan
(the "Plan") is to provide employees of GigaMedia Limited (the "Company") and
its Subsidiary Corporations with an opportunity to acquire a proprietary
interest in the Company through the purchase of Company Stock (as defined
below). It is the intention of the Company that the Plan qualifies as an
"employee stock purchase plan" under Section 423 of the Code. Accordingly, the
provisions of the Plan shall be construed in a manner consistent with the
requirements of that Section of the Code. The Plan is effective as of July 1,
2004, subject to approval by the Company's shareholders.

                                   ARTICLE II

                                  DEFINITIONS

     2.01 "Account" means the account maintained on behalf of each Participant
by the Custodian for the purpose of investing in Company Stock.

     2.02 "Beneficiary" means a person designated as a beneficiary pursuant to
Section 9.01.

     2.03 "Board" means the Board of Directors of the Company.

     2.04 "Code" means the United States Internal Revenue Code of 1986, as
amended from time to time, including regulations issued thereunder and successor
provisions and regulations thereto.

     2.05 "Committee" means the individuals appointed by the Board to administer
the Plan.

     2.06 "Company Stock" means Company ordinary shares, par value NT$10 per
share.

     2.07 "Contribution" means an amount not to exceed two months of the
Employee's Salary that the Employee elects to contribute to his or her Account.

     2.08 "Custodian" means the person or entity designated by the Company to
act as custodian for the Plan or any successor thereto.

     2.09 "Employee" means any person who is employed by the Company or a
Subsidiary Corporation.

     2.10 "Exercise Date" means the last day of the Offering Period.

     2.11 "Fair Market Value" means the fair market value of a share of Company
Stock, which, as of any given date, shall be the closing price of a share of
Company Stock reported on a consolidated basis for securities listed on the
NASDAQ Stock Market for trades on the date as of which such value is being
determined or, if that day is not a Trading Day, then on the latest previous
Trading Day.

     2.12 "Holding Period" means the period beginning on the Exercise Date and
ending on the date on which all shares and cash have been distributed from a
Participant's Account.

     2.13 "Offering Period" means the one-month period to be determined by the
Committee.

     2.14 "Participant" means any Employee who (i) is eligible to participate in
the Plan under Section 3.01 hereof and (ii) elects to participate.

     2.15 "Plan" means this GigaMedia Limited Employee Share Purchase Plan.

     2.16 "Purchase Price" means an amount equal to the lesser of (a) 85% of the
Fair Market Value of a share of Company Stock on the first day of the Offering
Period or (b) 85% of the Fair Market Value of a share of Company Stock on the
Exercise Date.

     2.17 "Salary" means base cash remuneration that is paid to the Employee,
whether on a salaried or hourly basis, by the Company or any Subsidiary
Corporation during the calendar year for the performance of services and
includible in gross income.

<PAGE>

     2.18 "Subsidiary Corporation" means any corporation (other than the
Company) in an unbroken chain of corporations beginning with the Company if, at
the time of granting a purchase right, each of the corporations (other than the
last corporation in the unbroken chain) owns stock possessing more than 50% of
the total combined voting power of all classes of stock in one of the other
corporations in such chain.

     2.19 "Subscription Period" means the two-week period beginning 21 days
prior to the first day of the Offering Period.

     2.20 "Trading Day" means a day on which the NASDAQ Stock Market is open for
trading.

                                  ARTICLE III

                         ELIGIBILITY AND PARTICIPATION

     3.01 All Employees who are employed by the Company on the last day of the
Subscription Period shall be eligible to participate in the Plan.

     3.02 An eligible Employee may become a Participant in the Plan by giving
telephonic (or, if so permitted or prescribed by the Committee, another form of)
notice to the Custodian in such manner and form as prescribed by the Committee
prior to or during the Subscription Period; provided, however, that any Employee
whose employment begins during the Subscription Period may elect to participate
in the Plan by giving notice to the Custodian in such form as the Committee
shall determine at any time prior to the first day of the Offering Period.

     3.03 Notwithstanding any provisions of the Plan to the contrary, no
Employee shall be granted a purchase right under the Plan to the extent that:

     (a) immediately after the grant, such Employee would own stock, and/or hold
outstanding options, possessing 5% or more of the total combined voting power or
value of all classes of stock of the Company or a Subsidiary Corporation
(determined under the rules of Section 424(d) of the Code);

     (b) immediately after the grant, such Employee's right to purchase Company
Stock under all employee stock purchase plans (as defined in Section 423 of the
Code) of the Company and any Subsidiary Corporation would accrue at a rate which
exceeds $25,000 in fair market value of such Company Stock (determined at the
time such purchase right is granted) for each calendar year in which such
purchase right would be outstanding at any time; or

     (c) such Employee's customary employment is less than 20 hours per week.

                                   ARTICLE IV

                                 CONTRIBUTIONS

     4.01 No later than the first day of the Offering Period, each Employee who
has given notice to the Custodian shall deliver to the Custodian his or her
Contribution in the form of cash or cash equivalents. If the Employee does not
deliver the Contribution to the Custodian on or prior to the first day of the
Offering Period, the Custodian will not accept the Contribution and the Employee
will not be permitted to participate in the Plan.

     4.02 An individual Account shall be maintained by the Custodian for each
Participant in the Plan. Each Participant's Contribution shall be credited to
his or her Account. No interest shall accrue or be paid on any Contributions or
any other amounts credited to a Participant's Account.

     4.03 A Participant may discontinue his or her participation in the Plan
during the Offering Period by giving telephonic (or, if so permitted or
prescribed by the Committee, another form of) instructions authorizing the
Participant's withdrawal and requesting a full refund of his or her
Contribution. A Participant may not discontinue his or her participation in part
during the Offering Period. Any such partial discontinuation shall be deemed a
discontinuation in full and such Participant's Contribution shall be refunded in
full.

     4.04 If the number of shares of Company Stock available for purchase under
the Plan is insufficient to grant to each Participant the right to purchase the
full number of shares to which he or she otherwise would be entitled, then each
Participant will have the right to purchase that number of available shares of
Company Stock that is equal to the total number of available shares of Company
Stock multiplied by a fraction, the numerator of which is the Contribution
credited to the Participant's Account and the denominator of which is the total
amount of Contributions credited to the Accounts of all Participants. In such
event, the Committee shall give written notice to each Participant of such
reduction of the number of purchase rights affected thereby and shall refund any
Contributions in excess of the Fair Market Value of the shares of Company Stock
credited to a Participant's Account.

                                   ARTICLE V

                      GRANT AND EXERCISE OF PURCHASE RIGHT

<PAGE>

     5.01 On the first day of the Offering Period, each Participant shall be
deemed to have been granted a purchase right on the Exercise Date, at the
applicable Purchase Price, of a number of shares of Company Stock determined by
dividing such Participant's Contribution credited to his or her Account by the
applicable Purchase Price; provided that such purchase shall be subject to the
limitations set forth in Sections 3.03 and 7.01. Exercise of the purchase right
shall occur as provided in Section 5.02, unless the Participant has withdrawn
the amount credited to his or her Account upon withdrawal from the Plan pursuant
to Section 4.03 or such amount has been distributed to the Participant or the
Beneficiary upon termination of employment pursuant to Section 6.01 or upon
authorized leave of absence pursuant to Section 6.02. To the extent not
exercised, the purchase right shall expire at the end of the business day on the
Exercise Date.

     5.02 A Participant's purchase right shall be exercised automatically on the
Exercise Date, and the maximum number of whole shares subject to the purchase
right shall be purchased for such Participant at the applicable Purchase Price
with the Contribution credited to his or her Account. Participants will receive
cash in lieu of fractional shares based on the Fair Market Value of a share of
Company Stock on the Exercise Date, which amounts will be paid within 30 days
following the Exercise Date. On the offering date, this Plan shall be deemed to
have granted to the participant an option for as many full shares as he/she will
be able to purchase with the payroll deductions credited to his/her account
during his participation in that offering. Notwithstanding the foregoing, no
participant may purchase more than 50,000 shares of stock during any single
offering period.

     5.03 During a Participant's lifetime, purchase rights held by such
Participant shall be exercisable only by that Participant and are not
transferable other than by will or by the laws of descent and distribution.

     (a) At or as promptly as practicable after the Exercise Date, the Company
shall deliver the shares of Company Stock purchased to the Custodian for deposit
into the Participants' Accounts. Such shares shall be held in such Accounts for
no less than six months following the Exercise Date. Any attempt to sell or
otherwise transfer such shares shall be without effect.

     (b) Each Participant will be entitled to vote the number of shares of
Company Stock credited to his or her Account on any matter as to which the
approval of the Company's stockholders is sought. If a Participant does not vote
or grant a valid proxy with respect to shares credited to his or her Account,
such shares will be voted by the Custodian in accordance with any stock exchange
or other rules governing the Custodian in the voting of shares held for customer
accounts. Similar procedures will apply in the case of any consent solicitation
of the Company's stockholders. Each Participant shall be entitled to receive
dividends payable on the number of shares of Company Stock credited to his or
her Account.

     5.04 Following the completion of six months following the Exercise Date, a
Participant may elect to withdraw from his or her Account shares of Company
Stock acquired during the Offering Period or may elect to transfer such shares
from his or her Account to an account of the Participant maintained with a
broker-dealer or financial institution. If a Participant elects to withdraw
shares from his or her Account, one or more certificates for whole shares shall
be issued in the name of, and delivered to, the Participant, with such
Participant receiving cash in lieu of fractional shares based on the Fair Market
Value of a share of Company Stock on the date of withdrawal. If shares of
Company Stock are transferred from a Participant's Account to a broker-dealer or
financial institution that maintains an account for the Participant, only whole
shares shall be transferred and cash in lieu of any fractional share shall be
paid to such Participant based on the Fair Market Value of a share of Company
Stock on the date of transfer. A Participant seeking to withdraw or transfer
shares of Company Stock must give telephonic (or, if so permitted or prescribed
by the Committee, another form of) instructions to the Custodian in such form
and manner as may be prescribed by the Custodian, which instructions will be
acted upon as promptly as practicable. Withdrawals and transfers will be subject
to any fees imposed in accordance with Section 8.04.

                                   ARTICLE VI

               WITHDRAWAL FROM PLAN AND TERMINATION OF EMPLOYMENT

     6.01 Upon a Participant's termination of employment with the Company and
all Subsidiary Corporations for any reason (including termination because of the
Participant's death) during the Offering Period, Contributions credited to such
Participant's Account but not yet used to exercise the purchase right shall be
returned to such Participant or, in the case of his or her death, to the
Participant's Beneficiary, and such Participant's purchase right shall be
automatically terminated. Upon a Participant's termination of employment with
the Company and all Subsidiary Corporations for any reason (including
termination because of the Participant's death) during the Holding Period, the
shares of Company Stock in the Participant's Account shall be transferred: (a)
in certificated form to the Participant or, in the case of his or her death, the
Beneficiary, or (b) into to an account of the Participant (or the Participant's
Beneficiary) maintained with a broker-dealer or financial institution. The
provisions of Section 5.04 shall apply to a distribution of shares of Company
Stock on termination of employment under this Section 6.01.

     6.02 If a Participant goes on an authorized leave of absence for any
reason, such Participant shall have the right to elect to: (a) withdraw from the
Plan and receive a refund of his or her Contribution or (b) remain a Participant
in the Plan during such leave of absence.

     6.03 For the purposes of the Plan, a Participant's employment with the
Company or a Subsidiary Corporation shall be considered to have terminated
effective on the last day of the Participant's actual and active employment with
the Company or Subsidiary Corporation, whether such day is selected by agreement
with the Participant or unilaterally by the Company or Subsidiary Corporation
and whether with or without advance notice to the

<PAGE>

Participant. For the avoidance of doubt, no period of notice that is given or
ought to have been given under applicable law in respect of such termination of
employment will be taken into account in determining entitlement under the Plan.

                                  ARTICLE VII

                                 COMPANY STOCK

     7.01 Subject to adjustment as provided in Section 7.02 hereof, the maximum
number of shares of Company Stock which shall be reserved for sale under the
Plan shall be 2,000,000 shares. Such shares shall be either authorized and
unissued shares or shares which have been reacquired by the Company. The
provisions of Section 4.04 shall apply if the total number of shares which would
otherwise be subject to purchase rights granted during the Offering Period
exceeds the number of shares of Company Stock available under the Plan.

     7.02 The Committee shall proportionately adjust (a) the number of shares of
Company Stock reserved for sale under the Plan and (b) the price per share and
the number of shares of Company Stock covered by each purchase right under the
Plan which has not yet been exercised to appropriately take into account any
increase or decrease in the number of issued shares of Company Stock resulting
from a stock split, reverse stock split, spinoff, stock dividend, combination or
reclassification of the Company Stock, or other extraordinary corporate event
which affects the Company Stock in order to prevent dilution or enlargement of
the rights of Participants. The determination of the Committee with respect to
any such adjustment shall be final, binding and conclusive.

     7.03 The Participant will have no interest in Company Stock covered by his
or her purchase right until such purchase right has been exercised.

                                  ARTICLE VIII

                                 ADMINISTRATION

     8.01 The Plan shall be administered by the Committee. Subject to the
express provisions of the Plan, the Committee shall have full and discretionary
authority to interpret and construe all provisions of the Plan, to adopt rules
and regulations for administering the Plan, and to make all other determinations
deemed necessary or advisable for administering the Plan. The Committee's
determination on the foregoing matters shall be final and conclusive. The
Committee may, in its discretion, delegate some or all of its authority to one
or more Employees or officers of the Company or a Subsidiary Corporation.

     8.02 Members of the Committee, and any officer or Employee of the Company
or a Subsidiary Corporation acting at the direction, or on behalf, of the
Committee shall not be personally liable for any action or determination taken
or made in good faith with respect to the Plan, and shall, to the extent
permitted by law, be fully indemnified and protected by the Company with respect
to any such action or determination.

     8.03 The Custodian will act as custodian under the Plan, and will perform
such duties as are set forth in the Plan and in any agreement between the
Company and the Custodian. The Custodian will establish and maintain, as agent
for each Participant, an Account and any subaccounts as may be necessary or
desirable for the administration of the Plan.

     8.04 The costs and expenses incurred in the administration of the Plan and
maintenance of Accounts will be paid by the Company, including fees of the
Custodian. The foregoing notwithstanding, the Custodian may impose or pass
through to the Participants a reasonable fee for the withdrawal of Company Stock
in the form of stock certificates and reasonable fees for other services
unrelated to the purchase of Company Stock under the Plan, to the extent
approved in writing by the Company and communicated to Participants. Under no
circumstances shall the Company pay any brokerage fees and commissions for the
sale of Company Stock acquired under the Plan by a Participant.

                                   ARTICLE IX

                                 MISCELLANEOUS

     9.01 Subject to applicable law, a Participant may file with the Company a
written designation of a beneficiary who is to receive any shares and cash from
the Participant's Account under the Plan in the event of such Participant's
death after making a Contribution but prior to the end of the Holding Period.
Such designation of beneficiary may be changed by the Participant at any time by
written notice to the Company. In the event of the death of a Participant and in
the absence of a validly designated Beneficiary who is living at the time of
such Participant's death, any shares or cash to be distributed on the
Participant's death shall be delivered to the Participant's estate.

     9.02 Neither Contributions credited to a Participant's Account nor any
rights with regard to the exercise of a purchase right under the Plan may be
assigned, transferred, pledged, or otherwise disposed of in any way by the
Participant other than by will or the laws of descent and distribution as
provided in Section 9.01. Any such attempted assignment, transfer, pledge or
other disposition shall be without effect, except that the Company may, in its
sole discretion, treat such action as an election to withdraw funds.

<PAGE>

     9.03 The Company or any designated Subsidiary Corporation is authorized to
withhold from any payment to be made to a Participant, including any payroll and
other payments not related to the Plan, amounts of withholding and other taxes
due in connection with any transaction under the Plan, including any disposition
of shares acquired under the Plan, and a Participant's enrollment in the Plan
will be deemed to constitute his or her consent to such withholding. At the time
of a Participant's exercise of a purchase right or disposition of shares
acquired under the Plan, the Company may require the Participant to make other
arrangements to meet tax withholding obligations as a condition to exercise of
rights or distribution of shares or cash from the Participant's Account. In
addition, a Participant may be required to advise the Company of sales and other
dispositions of Company Stock acquired under the Plan in order to permit the
Company to comply with tax laws and to claim any tax deductions to which the
Company may be entitled with respect to the Plan.

     9.04 All Contributions received or held by the Company under this Plan may
be used by the Company for any corporate purpose, and the Company shall not be
obligated to segregate such Contributions.

     9.05 The Board shall have the complete power and authority to terminate or
amend the Plan; provided, however, that the Board shall not, without the
approval of the shareholders of the Company, increase the maximum number of
shares which may be issued under any offering (except pursuant to Section 7.02)
or amend the requirements as to the class of employees eligible to purchase
stock under the Plan. No termination, modification, or amendment of the Plan
may, without the consent of an employee then having a purchase right under the
Plan to purchase stock, adversely affect the rights of such employee under such
purchase right. In the event the Plan is terminated, the balance, if any, in
each Participant's Account shall be refunded to him or her, or otherwise
disposed of in accordance with policies and procedures prescribed by the
Committee in cases where such a refund may not be possible.

     9.06 The Plan does not, directly or indirectly, create any right for the
benefit of any Employee or class of Employees to purchase any shares of Company
Stock under the Plan, or create in any Employee or class of Employees any right
with respect to continuation of employment by the Company, and it shall not be
deemed to interfere in any way with the Company's right to terminate, or
otherwise modify, an Employee's employment at any time. Any benefits granted
hereunder are not part of the a Participant's ordinary salary or wages, and
shall not be considered as part of such salary or wages for purposes of any
other employee plan, program, policy or arrangement maintained by the Company or
in the event of severance, redundancy or resignation. If the Participant's
employment is terminated for any reason, whether lawfully or unlawfully, the
Participant shall not be entitled by way of damages for breach of contract,
dismissal or compensation for loss of office or otherwise to any sum, shares or
other benefits to compensate him or her for the loss or diminution in value of
any actual or prospective right, benefits or expectation under or in relation to
the Plan. Benefits granted under the Plan are entirely at the grace and
discretion of the Company.

     9.07 All notices or other communications by a Participant to the Company
shall be deemed to have been duly given when received in the form specified by
the Company at the location, or by the person, designated by the Company for the
receipt thereof.

     9.08 The Company shall not be obligated to issue shares of Company Stock
with respect to a purchase right unless the exercise of such purchase right and
the issuance and delivery of such shares pursuant thereto shall comply with all
applicable provisions of law, domestic or foreign, including, without
limitation, the Securities Act of 1933, as amended, the Securities Exchange Act
of 1934, the rules and regulations promulgated thereunder, and the requirements
of any stock exchange or automated quotation system upon which the shares may
then be listed or quoted.

     9.09 The provisions of the Plan shall, in accordance with its terms, be
binding upon, and inure to the benefit of, all successors of each Participant,
including, without limitation, such Participant's estate and the executors,
administrators or trustees thereof, heirs and legatees, and any receiver,
trustee in bankruptcy or representative of creditors of such Participant.

     9.10 The Plan shall continue in effect until all amounts have been
distributed from all Participants' Accounts at which time it shall automatically
terminate without any additional action required.

     9.11 To the extent permitted under Section 423 of the Code, the Committee
may provide for such special terms for Participants who are foreign nationals,
or who are employed by the Company or Subsidiary Corporation outside of the
United States of America, as the Committee may consider necessary or appropriate
to accommodate differences in local law, tax policy or custom. Moreover, the
Committee may approve such supplements to or amendments, restatements, or
alternative versions of, this Plan as it may consider necessary or appropriate
for such purposes without thereby affecting the terms of this Plan as in effect
for any other purpose; provided, however, that no such supplements, amendments,
restatements or alternative versions will include any provisions that are
inconsistent with the terms of this Plan, as then in effect, unless this Plan
could have been amended to eliminate such inconsistency without further approval
by the shareholders of the Company, or which would cause the Plan to fail to
meet the requirements of Section 423 of the Code.

     9.12 For the reasons described below, the Company and its Subsidiary
Corporations may process sensitive personal data about each Participant. Such
data may include but is are not limited to: (a) personal data (e.g., name,
address, telephone number, fax number, email address, family size, marital
status, sex, beneficiary information, emergency contacts, passport/visa
information, age, language skills, drivers license information, birth
certificate, and employee number), (b) employment information (e.g., C.V. (or
resume), wage history, employment references, job title, employment or severance
contract, plan or benefit enrollment forms and elections, and purchase right or
benefit statements), and (c) financial information (e.g., wage and benefit
information, personal bank account

<PAGE>

number, tax related information, and tax identification number). The Company may
from time to time process and transfer this or other information for internal
compensation and benefit planning (specifically, participation in the Plan); to
determine training needs; to develop a global human resource database; and to
evaluate skill utilization. The legal persons for whom the Participant's
personal data is intended are the Company, and any outside Plan administrator or
Custodian as selected by the Company from time to time, and any other person
that the Company may find in its administration of the Plan appropriate. The
Company shall ensure that all personal data and/or sensitive data transmitted
shall be kept confidential and used only for legitimate Company purposes as
described above.

     9.13 The law of the Republic of Singapore will govern all matters relating
to this Plan to the extent such law is not inconsistent with Section 423 of the
Code and any regulations or rules promulgated thereunder or case law
interpreting Section 423 of the Code.

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