Answer:
It doesn't, only a greyscale signal is generated, however if your TV has RGB VGA input, you can connect it to 15pin VGA connector on MicroVGA and enjoy the full-color image.The reason why we don't support color PAL/NTSC is the requirement to support the many color-subcarrier standards that are used all around the world. Supporting color PAL/NTSC would dramatically increase MicroVGA price.