Noise reduction in images is provided by performing a noise reduction step on blocks of pixels within a video-processing pipeline. The noise reduction step consists of applying a discrete cosine transform (DCT) to the block of pixels, quantizing the resulting DCT coefficients, and performing an inverse of the DCT to the quantized coefficients. The output of that noise reduction step is a block of image pixels similar to the input pixels, but with significantly less image noise. Because the noise reduction step can be performed quickly on small blocks of pixels, the noise reduction can be performed in real-time in a video processing pipeline.