GX100 noise issue

Started May 17, 2007 | Discussions thread
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GX100 noise issue
May 17, 2007

I've struck something that both surprises and confounds me. There's probably a very good reason for this phenomenon but it beats me.

I've been testing my new GX100 and today did an interior shot of our living room at 100 iso in RAW as well as a full size JPEG.

Enlarging both images in Potoshop CS3 100%, there is significantly more noise in the RAW image than the JPEG.
Can anyone explain why this might be and how to correct it.
Which button do I press?

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