In this paper, a dedicated hardware design for motion estimation LSI of MPEG2 is presented. Combining our bits truncation adaptive pyramid (BTAP) algorithm with Window-MSPA architecture, the hardware cost is tremendously reduced without PSNR performance degradation for mean pyramid algorithm. The core of the test chip working at 83 MHz, performs a search range of 67 for image size of 1920 1152 and achieves video rate of 60 field/s. It can be used for HDTV purpose. The chip size is 4. 8 mm 4. 8 mm with 0. 5u 2-level metal CMOS technology. The result in this paper shows our promising future to realize one chip HDTV MPEG2 encoder.