A method and structure for implementing color image acquisition and processing. Combined and direct interpolation and conversion from a first to a second color space of sensor color data provided to a device capable of receiving and displaying color image data, followed by color correction in the second color space, greatly simplifies acquisition and processing of color image data. Interpolation in the combined interpolation and conversion can optionally be vertex-based interpolation in which color data for virtual pixels for one or more pixels of interest can occur in parallel fashion. Conversion in the combined interpolation and conversion can be performed in accordance with a simplified conversion matrix that does not require the use of multiplier logic to be implemented but that does require compensation during subsequent color correction of the color data, also in the second color space. Vertex-based interpolation may additionally be performed in an image acquisition and processing process that does not combine interpolation with conversion of color image data.