diff --git a/packages/grafana-schema/src/common/common.gen.ts b/packages/grafana-schema/src/common/common.gen.ts
index 4c1fd34f48e..ff937656095 100644
--- a/packages/grafana-schema/src/common/common.gen.ts
+++ b/packages/grafana-schema/src/common/common.gen.ts
@@ -708,6 +708,7 @@ export enum TableCellDisplayMode {
   Image = 'image',
   JSONView = 'json-view',
   LcdGauge = 'lcd-gauge',
+  Pill = 'pill',
   Sparkline = 'sparkline',
 }
 
@@ -838,7 +839,38 @@ export enum TableCellHeight {
  * Table cell options. Each cell has a display mode
  * and other potential options for that display.
  */
-export type TableCellOptions = (TableAutoCellOptions | TableSparklineCellOptions | TableBarGaugeCellOptions | TableColoredBackgroundCellOptions | TableColorTextCellOptions | TableImageCellOptions | TableDataLinksCellOptions | TableActionsCellOptions | TableJsonViewCellOptions);
+export type TableCellOptions = (TableAutoCellOptions | TableSparklineCellOptions | TableBarGaugeCellOptions | TableColoredBackgroundCellOptions | TableColorTextCellOptions | TableImageCellOptions | TablePillCellOptions | TableDataLinksCellOptions | TableActionsCellOptions | TableJsonViewCellOptions);
+
+/**
+ * Field options for each field within a table (e.g 10, "The String", 64.20, etc.)
+ * Generally defines alignment, filtering capabilties, display options, etc.
+ */
+export interface TableFieldOptions {
+  align: FieldTextAlignment;
+  cellOptions: TableCellOptions;
+  /**
+   * This field is deprecated in favor of using cellOptions
+   */
+  displayMode?: TableCellDisplayMode;
+  filterable?: boolean;
+  hidden?: boolean; // ?? default is missing or false ??
+  /**
+   * Hides any header for a column, useful for columns that show some static content or buttons.
+   */
+  hideHeader?: boolean;
+  inspect: boolean;
+  minWidth?: number;
+  width?: number;
+  /**
+   * Enables text wrapping for column headers
+   */
+  wrapHeaderText?: boolean;
+}
+
+export const defaultTableFieldOptions: Partial<TableFieldOptions> = {
+  align: 'auto',
+  inspect: false,
+};
 
 /**
  * Use UTC/GMT timezone
@@ -944,37 +976,12 @@ export enum ComparisonOperation {
   NEQ = 'neq',
 }
 
-/**
- * Field options for each field within a table (e.g 10, "The String", 64.20, etc.)
- * Generally defines alignment, filtering capabilties, display options, etc.
- */
-export interface TableFieldOptions {
-  align: FieldTextAlignment;
-  cellOptions: TableCellOptions;
-  /**
-   * This field is deprecated in favor of using cellOptions
-   */
-  displayMode?: TableCellDisplayMode;
-  filterable?: boolean;
-  hidden?: boolean; // ?? default is missing or false ??
-  /**
-   * Hides any header for a column, useful for columns that show some static content or buttons.
-   */
-  hideHeader?: boolean;
-  inspect: boolean;
-  minWidth?: number;
-  width?: number;
-  /**
-   * Enables text wrapping for column headers
-   */
-  wrapHeaderText?: boolean;
+export interface TablePillCellOptions {
+  color?: string;
+  colorMode?: ('auto' | 'fixed' | 'mapped');
+  type: TableCellDisplayMode.Pill;
 }
 
-export const defaultTableFieldOptions: Partial<TableFieldOptions> = {
-  align: 'auto',
-  inspect: false,
-};
-
 /**
  * A specific timezone from https://en.wikipedia.org/wiki/Tz_database
  */
diff --git a/packages/grafana-schema/src/common/table.cue b/packages/grafana-schema/src/common/table.cue
index ca61617aedb..0858150ae4c 100644
--- a/packages/grafana-schema/src/common/table.cue
+++ b/packages/grafana-schema/src/common/table.cue
@@ -4,7 +4,7 @@ package common
 // in the table such as colored text, JSON, gauge, etc.
 // The color-background-solid, gradient-gauge, and lcd-gauge
 // modes are deprecated in favor of new cell subOptions
-TableCellDisplayMode: "auto" | "color-text" | "color-background" | "color-background-solid" | "gradient-gauge" | "lcd-gauge" | "json-view" | "basic" | "image" | "gauge" | "sparkline" | "data-links" | "custom" | "actions" @cuetsy(kind="enum",memberNames="Auto|ColorText|ColorBackground|ColorBackgroundSolid|GradientGauge|LcdGauge|JSONView|BasicGauge|Image|Gauge|Sparkline|DataLinks|Custom|Actions")
+TableCellDisplayMode: "auto" | "color-text" | "color-background" | "color-background-solid" | "gradient-gauge" | "lcd-gauge" | "json-view" | "basic" | "image" | "gauge" | "sparkline" | "data-links" | "custom" | "actions" | "pill" @cuetsy(kind="enum",memberNames="Auto|ColorText|ColorBackground|ColorBackgroundSolid|GradientGauge|LcdGauge|JSONView|BasicGauge|Image|Gauge|Sparkline|DataLinks|Custom|Actions|Pill")
 
 // Display mode to the "Colored Background" display
 // mode for table cells. Either displays a solid color (basic mode)
@@ -89,7 +89,7 @@ TableCellHeight: "sm" | "md" | "lg" | "auto" @cuetsy(kind="enum")
 
 // Table cell options. Each cell has a display mode
 // and other potential options for that display.
-TableCellOptions: TableAutoCellOptions | TableSparklineCellOptions | TableBarGaugeCellOptions | TableColoredBackgroundCellOptions | TableColorTextCellOptions | TableImageCellOptions | TableDataLinksCellOptions | TableActionsCellOptions | TableJsonViewCellOptions @cuetsy(kind="type")
+TableCellOptions: TableAutoCellOptions | TableSparklineCellOptions | TableBarGaugeCellOptions | TableColoredBackgroundCellOptions | TableColorTextCellOptions | TableImageCellOptions | TablePillCellOptions | TableDataLinksCellOptions | TableActionsCellOptions | TableJsonViewCellOptions @cuetsy(kind="type")
 
 // Field options for each field within a table (e.g 10, "The String", 64.20, etc.)
 // Generally defines alignment, filtering capabilties, display options, etc.
@@ -109,3 +109,9 @@ TableFieldOptions: {
   wrapHeaderText?: bool
 } @cuetsy(kind="interface")
 
+TablePillCellOptions: {
+  type: TableCellDisplayMode & "pill"
+  color?: string
+  colorMode?: "auto" | "fixed" | "mapped"
+} @cuetsy(kind="interface")
+
diff --git a/packages/grafana-ui/src/components/Table/TableNG/Cells/PillCell.test.tsx b/packages/grafana-ui/src/components/Table/TableNG/Cells/PillCell.test.tsx
new file mode 100644
index 00000000000..a216a9221d1
--- /dev/null
+++ b/packages/grafana-ui/src/components/Table/TableNG/Cells/PillCell.test.tsx
@@ -0,0 +1,219 @@
+import { render, screen } from '@testing-library/react';
+
+import { DataFrame, Field, FieldType, GrafanaTheme2, MappingType, createTheme } from '@grafana/data';
+import { TableCellDisplayMode, TablePillCellOptions } from '@grafana/schema';
+
+import { mockThemeContext } from '../../../../themes/ThemeContext';
+
+import { PillCell, inferPills } from './PillCell';
+
+describe('PillCell', () => {
+  let restoreThemeContext: () => void;
+
+  beforeEach(() => {
+    restoreThemeContext = mockThemeContext(createTheme());
+  });
+
+  afterEach(() => {
+    restoreThemeContext();
+  });
+
+  const mockCellOptions: TablePillCellOptions = {
+    type: TableCellDisplayMode.Pill,
+    colorMode: 'auto',
+  };
+
+  const mockField: Field = {
+    name: 'test',
+    type: FieldType.string,
+    values: [],
+    config: {},
+  };
+
+  const mockFrame: DataFrame = {
+    name: 'test',
+    fields: [mockField],
+    length: 1,
+  };
+
+  const defaultProps = {
+    value: 'test-value',
+    field: mockField,
+    justifyContent: 'flex-start' as const,
+    cellOptions: mockCellOptions,
+    rowIdx: 0,
+    frame: mockFrame,
+    height: 30,
+    width: 100,
+    theme: {} as GrafanaTheme2,
+    cellInspect: false,
+    showFilters: false,
+  };
+
+  describe('pill parsing', () => {
+    it('should render pills for single values', () => {
+      render(<PillCell {...defaultProps} />);
+      expect(screen.getByText('test-value')).toBeInTheDocument();
+    });
+
+    it('should render pills for CSV values', () => {
+      render(<PillCell {...defaultProps} value="value1,value2,value3" />);
+      expect(screen.getByText('value1')).toBeInTheDocument();
+      expect(screen.getByText('value2')).toBeInTheDocument();
+      expect(screen.getByText('value3')).toBeInTheDocument();
+    });
+
+    it('should render pills for JSON array values', () => {
+      render(<PillCell {...defaultProps} value='["item1","item2","item3"]' />);
+      expect(screen.getByText('item1')).toBeInTheDocument();
+      expect(screen.getByText('item2')).toBeInTheDocument();
+      expect(screen.getByText('item3')).toBeInTheDocument();
+    });
+
+    it('should show dash for empty values', () => {
+      render(<PillCell {...defaultProps} value="" />);
+      expect(screen.getByText('-')).toBeInTheDocument();
+    });
+
+    it('should show dash for null values', () => {
+      render(<PillCell {...defaultProps} value={null as unknown as string} />);
+      expect(screen.getByText('-')).toBeInTheDocument();
+    });
+  });
+
+  describe('color mapping', () => {
+    // These tests primarily ensure the color logic executes without throwing.
+    // For true color verification, visual regression tests would be needed.
+
+    it('should use mapped colors when colorMode is mapped', () => {
+      const mappedOptions: TablePillCellOptions = {
+        type: TableCellDisplayMode.Pill,
+        colorMode: 'mapped',
+      };
+
+      render(<PillCell {...defaultProps} value="success,error,warning,unknown" cellOptions={mappedOptions} />);
+
+      const successPill = screen.getByText('success');
+      const errorPill = screen.getByText('error');
+      const warningPill = screen.getByText('warning');
+      const unknownPill = screen.getByText('unknown');
+
+      expect(successPill).toBeInTheDocument();
+      expect(errorPill).toBeInTheDocument();
+      expect(warningPill).toBeInTheDocument();
+      expect(unknownPill).toBeInTheDocument();
+    });
+
+    it('should use field-level value mappings when available', () => {
+      const mappedOptions: TablePillCellOptions = {
+        type: TableCellDisplayMode.Pill,
+        colorMode: 'mapped',
+      };
+
+      // Mock field with value mappings
+      const fieldWithMappings: Field = {
+        ...mockField,
+        config: {
+          ...mockField.config,
+          mappings: [
+            {
+              type: MappingType.ValueToText,
+              options: {
+                success: { color: '#00FF00' },
+                error: { color: '#FF0000' },
+                warning: { color: '#FFFF00' },
+              },
+            },
+          ],
+        },
+        display: (value: unknown) => ({
+          text: String(value),
+          color:
+            String(value) === 'success'
+              ? '#00FF00'
+              : String(value) === 'error'
+                ? '#FF0000'
+                : String(value) === 'warning'
+                  ? '#FFFF00'
+                  : '#FF780A',
+          numeric: 0,
+        }),
+      };
+
+      render(
+        <PillCell
+          {...defaultProps}
+          value="success,error,warning,unknown"
+          cellOptions={mappedOptions}
+          field={fieldWithMappings}
+        />
+      );
+
+      const successPill = screen.getByText('success');
+      const errorPill = screen.getByText('error');
+      const warningPill = screen.getByText('warning');
+      const unknownPill = screen.getByText('unknown');
+
+      expect(successPill).toBeInTheDocument();
+      expect(errorPill).toBeInTheDocument();
+      expect(warningPill).toBeInTheDocument();
+      expect(unknownPill).toBeInTheDocument();
+    });
+
+    it('should use fixed color when colorMode is fixed', () => {
+      const fixedOptions: TablePillCellOptions = {
+        type: TableCellDisplayMode.Pill,
+        colorMode: 'fixed',
+        color: '#FF00FF',
+      };
+
+      render(<PillCell {...defaultProps} cellOptions={fixedOptions} />);
+      expect(screen.getByText('test-value')).toBeInTheDocument();
+    });
+
+    it('should use auto color when colorMode is auto', () => {
+      const autoOptions: TablePillCellOptions = {
+        type: TableCellDisplayMode.Pill,
+        colorMode: 'auto',
+      };
+
+      render(<PillCell {...defaultProps} cellOptions={autoOptions} />);
+      expect(screen.getByText('test-value')).toBeInTheDocument();
+    });
+  });
+});
+
+describe('inferPills', () => {
+  // These tests verify the pill parsing logic handles various input formats correctly.
+  // They ensure the function can extract pill values from different data structures.
+
+  it('should return empty array for null/undefined values', () => {
+    expect(inferPills(null)).toEqual([]);
+    expect(inferPills(undefined)).toEqual([]);
+    expect(inferPills('')).toEqual([]);
+  });
+
+  it('should parse single values', () => {
+    expect(inferPills('test')).toEqual(['test']);
+    expect(inferPills('"quoted"')).toEqual(['quoted']);
+    expect(inferPills("'quoted'")).toEqual(['quoted']);
+  });
+
+  it('should parse CSV strings', () => {
+    expect(inferPills('value1,value2,value3')).toEqual(['value1', 'value2', 'value3']);
+    expect(inferPills(' value1 , value2 , value3 ')).toEqual(['value1', 'value2', 'value3']);
+    expect(inferPills('value1, ,value3')).toEqual(['value1', 'value3']);
+  });
+
+  it('should parse JSON arrays', () => {
+    expect(inferPills('["item1","item2","item3"]')).toEqual(['item1', 'item2', 'item3']);
+    expect(inferPills('["item1", "item2", "item3"]')).toEqual(['item1', 'item2', 'item3']);
+    expect(inferPills('["item1", null, "item3"]')).toEqual(['item1', 'item3']);
+  });
+
+  it('should handle mixed content', () => {
+    // When JSON parsing fails, it falls back to CSV parsing
+    expect(inferPills('["item1", "item2"],extra')).toEqual(['["item1"', '"item2"]', 'extra']);
+    expect(inferPills('not-json,value')).toEqual(['not-json', 'value']);
+  });
+});
diff --git a/packages/grafana-ui/src/components/Table/TableNG/Cells/PillCell.tsx b/packages/grafana-ui/src/components/Table/TableNG/Cells/PillCell.tsx
new file mode 100644
index 00000000000..aaa103c3dc7
--- /dev/null
+++ b/packages/grafana-ui/src/components/Table/TableNG/Cells/PillCell.tsx
@@ -0,0 +1,185 @@
+import { css } from '@emotion/css';
+import { Property } from 'csstype';
+import { useMemo } from 'react';
+
+import { GrafanaTheme2, isDataFrame, classicColors, colorManipulator, Field } from '@grafana/data';
+import { TablePillCellOptions } from '@grafana/schema';
+
+import { useStyles2 } from '../../../../themes/ThemeContext';
+import { TableCellRendererProps } from '../types';
+
+const DEFAULT_PILL_BG_COLOR = '#FF780A';
+
+interface Pill {
+  value: string;
+  key: string;
+  bgColor: string;
+  color: string;
+}
+
+function createPills(pillValues: string[], cellOptions: TableCellRendererProps['cellOptions'], field: Field): Pill[] {
+  return pillValues.map((pill, index) => {
+    const bgColor = getPillColor(pill, cellOptions, field);
+    const textColor = colorManipulator.getContrastRatio('#FFFFFF', bgColor) >= 4.5 ? '#FFFFFF' : '#000000';
+    return {
+      value: pill,
+      key: `${pill}-${index}`,
+      bgColor,
+      color: textColor,
+    };
+  });
+}
+
+export function PillCell({ value, field, justifyContent, cellOptions }: TableCellRendererProps) {
+  const styles = useStyles2(getStyles, justifyContent);
+
+  const pills: Pill[] = useMemo(() => {
+    const pillValues = inferPills(value);
+    return createPills(pillValues, cellOptions, field);
+  }, [value, cellOptions, field]);
+
+  if (pills.length === 0) {
+    return <div className={styles.cell}>-</div>;
+  }
+
+  return (
+    <div className={styles.cell}>
+      <div className={styles.pillsContainer}>
+        {pills.map((pill) => (
+          <span
+            key={pill.key}
+            className={styles.pill}
+            style={{
+              backgroundColor: pill.bgColor,
+              color: pill.color,
+            }}
+          >
+            {pill.value}
+          </span>
+        ))}
+      </div>
+    </div>
+  );
+}
+
+export function inferPills(value: unknown): string[] {
+  if (!value) {
+    return [];
+  }
+
+  // Handle DataFrame - not supported for pills
+  if (isDataFrame(value)) {
+    return [];
+  }
+
+  // Handle different value types
+  const stringValue = String(value);
+
+  // Try to parse as JSON first
+  try {
+    const parsed = JSON.parse(stringValue);
+    if (Array.isArray(parsed)) {
+      // JSON array of strings
+      return parsed
+        .filter((item) => item != null && item !== '')
+        .map(String)
+        .map((text) => text.trim())
+        .filter((item) => item !== '');
+    }
+  } catch {
+    // Not valid JSON, continue with other parsing
+  }
+
+  // Handle CSV string
+  if (stringValue.includes(',')) {
+    return stringValue
+      .split(',')
+      .map((text) => text.trim())
+      .filter((item) => item !== '');
+  }
+
+  // Single value - strip quotes
+  return [stringValue.replace(/["'`]/g, '').trim()];
+}
+
+function isPillCellOptions(cellOptions: TableCellRendererProps['cellOptions']): cellOptions is TablePillCellOptions {
+  return cellOptions?.type === 'pill';
+}
+
+function getPillColor(pill: string, cellOptions: TableCellRendererProps['cellOptions'], field: Field): string {
+  if (!isPillCellOptions(cellOptions)) {
+    return getDeterministicColor(pill);
+  }
+
+  const colorMode = cellOptions.colorMode || 'auto';
+
+  // Fixed color mode (highest priority)
+  if (colorMode === 'fixed' && cellOptions.color) {
+    return cellOptions.color;
+  }
+
+  // Mapped color mode - use field's value mappings
+  if (colorMode === 'mapped') {
+    // Check if field has value mappings
+    if (field.config.mappings && field.config.mappings.length > 0) {
+      // Use the field's display processor to get the mapped value
+      const displayValue = field.display!(pill);
+      if (displayValue.color) {
+        return displayValue.color;
+      }
+    }
+    // Fallback to default color for unmapped values
+    return cellOptions.color || DEFAULT_PILL_BG_COLOR;
+  }
+
+  // Auto mode - deterministic color assignment based on string hash
+  if (colorMode === 'auto') {
+    return getDeterministicColor(pill);
+  }
+
+  // Default color for unknown values or fallback
+  return DEFAULT_PILL_BG_COLOR;
+}
+
+function getDeterministicColor(text: string): string {
+  // Create a simple hash of the string to get consistent colors
+  let hash = 0;
+  for (let i = 0; i < text.length; i++) {
+    const char = text.charCodeAt(i);
+    hash = (hash << 5) - hash + char;
+    hash = hash & hash; // Convert to 32-bit integer
+  }
+
+  // Use absolute value and modulo to get a consistent index
+  const colorValues = Object.values(classicColors);
+  const index = Math.abs(hash) % colorValues.length;
+
+  return colorValues[index];
+}
+
+const getStyles = (theme: GrafanaTheme2, justifyContent: Property.JustifyContent | undefined) => ({
+  cell: css({
+    display: 'flex',
+    justifyContent: justifyContent || 'flex-start',
+    alignItems: 'center',
+    height: '100%',
+    padding: theme.spacing(0.5),
+  }),
+  pillsContainer: css({
+    display: 'flex',
+    flexWrap: 'wrap',
+    gap: theme.spacing(0.5),
+    maxWidth: '100%',
+  }),
+  pill: css({
+    display: 'inline-block',
+    padding: theme.spacing(0.25, 0.75),
+    borderRadius: theme.shape.radius.default,
+    fontSize: theme.typography.bodySmall.fontSize,
+    lineHeight: theme.typography.bodySmall.lineHeight,
+    fontWeight: theme.typography.fontWeightMedium,
+    whiteSpace: 'nowrap',
+    textAlign: 'center',
+    minWidth: 'fit-content',
+  }),
+});
diff --git a/packages/grafana-ui/src/components/Table/TableNG/Cells/renderers.tsx b/packages/grafana-ui/src/components/Table/TableNG/Cells/renderers.tsx
index 7bb4b39f2cb..92cb1a5e36e 100644
--- a/packages/grafana-ui/src/components/Table/TableNG/Cells/renderers.tsx
+++ b/packages/grafana-ui/src/components/Table/TableNG/Cells/renderers.tsx
@@ -12,6 +12,7 @@ import { DataLinksCell } from './DataLinksCell';
 import { GeoCell } from './GeoCell';
 import { ImageCell } from './ImageCell';
 import { JSONCell } from './JSONCell';
+import { PillCell } from './PillCell';
 import { SparklineCell } from './SparklineCell';
 
 export type TableCellRenderer = (props: TableCellRendererProps) => ReactNode;
@@ -81,6 +82,8 @@ const DATA_LINKS_RENDERER: TableCellRenderer = (props) => <DataLinksCell field={
 
 const ACTIONS_RENDERER: TableCellRenderer = (props) => <ActionsCell actions={props.actions} />;
 
+const PILL_RENDERER: TableCellRenderer = (props) => <PillCell {...props} />;
+
 function isCustomCellOptions(options: TableCellOptions): options is TableCustomCellOptions {
   return options.type === TableCellDisplayMode.Custom;
 }
@@ -104,6 +107,7 @@ const CELL_RENDERERS: Record<TableCellOptions['type'], TableCellRenderer> = {
   [TableCellDisplayMode.ColorText]: AUTO_RENDERER,
   [TableCellDisplayMode.ColorBackground]: AUTO_RENDERER,
   [TableCellDisplayMode.Auto]: AUTO_RENDERER,
+  [TableCellDisplayMode.Pill]: PILL_RENDERER,
 };
 
 /** @internal */
diff --git a/packages/grafana-ui/src/components/Table/utils.ts b/packages/grafana-ui/src/components/Table/utils.ts
index f4c9b072b16..16f5ccac9d2 100644
--- a/packages/grafana-ui/src/components/Table/utils.ts
+++ b/packages/grafana-ui/src/components/Table/utils.ts
@@ -196,6 +196,8 @@ export function getCellComponent(displayMode: TableCellDisplayMode, field: Field
       return DataLinksCell;
     case TableCellDisplayMode.Actions:
       return ActionsCell;
+    case TableCellDisplayMode.Pill:
+      return DefaultCell; // Legacy table doesn't support pill cells, fallback to default
   }
 
   if (field.type === FieldType.geo) {
diff --git a/public/app/plugins/panel/table/table-new/TableCellOptionEditor.tsx b/public/app/plugins/panel/table/table-new/TableCellOptionEditor.tsx
index ad5d9e400be..d8752c8e503 100644
--- a/public/app/plugins/panel/table/table-new/TableCellOptionEditor.tsx
+++ b/public/app/plugins/panel/table/table-new/TableCellOptionEditor.tsx
@@ -10,6 +10,7 @@ import { AutoCellOptionsEditor } from './cells/AutoCellOptionsEditor';
 import { BarGaugeCellOptionsEditor } from './cells/BarGaugeCellOptionsEditor';
 import { ColorBackgroundCellOptionsEditor } from './cells/ColorBackgroundCellOptionsEditor';
 import { ImageCellOptionsEditor } from './cells/ImageCellOptionsEditor';
+import { PillCellOptionsEditor } from './cells/PillCellOptionsEditor';
 import { SparklineCellOptionsEditor } from './cells/SparklineCellOptionsEditor';
 
 // The props that any cell type editor are expected
@@ -77,6 +78,9 @@ export const TableCellOptionEditor = ({ value, onChange }: Props) => {
       {cellType === TableCellDisplayMode.Image && (
         <ImageCellOptionsEditor cellOptions={value} onChange={onCellOptionsChange} />
       )}
+      {cellType === TableCellDisplayMode.Pill && (
+        <PillCellOptionsEditor cellOptions={value} onChange={onCellOptionsChange} />
+      )}
     </div>
   );
 };
@@ -91,6 +95,7 @@ let cellDisplayModeOptions: Array<SelectableValue<TableCellOptions>> = [
   { value: { type: TableCellDisplayMode.JSONView }, label: 'JSON View' },
   { value: { type: TableCellDisplayMode.Image }, label: 'Image' },
   { value: { type: TableCellDisplayMode.Actions }, label: 'Actions' },
+  { value: { type: TableCellDisplayMode.Pill }, label: 'Pill' },
 ];
 
 const getStyles = (theme: GrafanaTheme2) => ({
diff --git a/public/app/plugins/panel/table/table-new/cells/PillCellOptionsEditor.tsx b/public/app/plugins/panel/table/table-new/cells/PillCellOptionsEditor.tsx
new file mode 100644
index 00000000000..0ff38f33ea9
--- /dev/null
+++ b/public/app/plugins/panel/table/table-new/cells/PillCellOptionsEditor.tsx
@@ -0,0 +1,66 @@
+import { t } from '@grafana/i18n';
+import { TablePillCellOptions } from '@grafana/schema';
+import { Field, ColorPicker, RadioButtonGroup, Stack } from '@grafana/ui';
+
+import { TableCellEditorProps } from '../TableCellOptionEditor';
+
+const colorModeOptions: Array<{ value: 'auto' | 'fixed' | 'mapped'; label: string }> = [
+  { value: 'auto', label: 'Auto' },
+  { value: 'fixed', label: 'Fixed color' },
+  { value: 'mapped', label: 'Value mapping' },
+];
+
+export const PillCellOptionsEditor = ({ cellOptions, onChange }: TableCellEditorProps<TablePillCellOptions>) => {
+  const colorMode = cellOptions.colorMode || 'auto';
+
+  const onColorModeChange = (mode: 'auto' | 'fixed' | 'mapped') => {
+    const updatedOptions = { ...cellOptions, colorMode: mode };
+    onChange(updatedOptions);
+  };
+
+  const onColorChange = (color: string) => {
+    const updatedOptions = { ...cellOptions, color };
+    onChange(updatedOptions);
+  };
+
+  return (
+    <Stack direction="column" gap={1}>
+      <Field
+        label={t('table.pill-cell-options-editor.label-color-mode', 'Color Mode')}
+        description={t(
+          'table.pill-cell-options-editor.description-color-mode',
+          'Choose how colors are assigned to pills'
+        )}
+        noMargin
+      >
+        <RadioButtonGroup value={colorMode} onChange={onColorModeChange} options={colorModeOptions} />
+      </Field>
+
+      {colorMode === 'fixed' && (
+        <Field
+          label={t('table.pill-cell-options-editor.label-fixed-color', 'Fixed Color')}
+          description={t(
+            'table.pill-cell-options-editor.description-fixed-color',
+            'All pills in this column will use this color'
+          )}
+          noMargin
+        >
+          <ColorPicker color={cellOptions.color || '#FF780A'} onChange={onColorChange} enableNamedColors={false} />
+        </Field>
+      )}
+
+      {colorMode === 'mapped' && (
+        <Field
+          label={t('table.pill-cell-options-editor.label-value-mappings-info', 'Value Mappings')}
+          description={t(
+            'table.pill-cell-options-editor.description-value-mappings-info',
+            'For Value Mappings either use the global table Value Mappings or the Field overrides Value Mappings. The default will fall back to the Color Scheme. '
+          )}
+          noMargin
+        >
+          <div>&nbsp;</div>
+        </Field>
+      )}
+    </Stack>
+  );
+};
diff --git a/public/locales/en-US/grafana.json b/public/locales/en-US/grafana.json
index 4f517a706ed..7d978590e2c 100644
--- a/public/locales/en-US/grafana.json
+++ b/public/locales/en-US/grafana.json
@@ -11768,6 +11768,14 @@
     "name-show-table-footer": "Show table footer",
     "name-show-table-header": "Show table header",
     "name-wrap-header-text": "Wrap header text",
+    "pill-cell-options-editor": {
+      "description-color-mode": "Choose how colors are assigned to pills",
+      "description-fixed-color": "All pills in this column will use this color",
+      "description-value-mappings-info": "For Value Mappings either use the global table Value Mappings or the Field overrides Value Mappings. The default will fall back to the Color Scheme. ",
+      "label-color-mode": "Color Mode",
+      "label-fixed-color": "Fixed Color",
+      "label-value-mappings-info": "Value Mappings"
+    },
     "placeholder-column-width": "auto",
     "placeholder-fields": "All Numeric Fields"
   },