This paper presents an FPGA-based (Field Programmable Gate Array) sensorless controller for Surface Mounted Permanent Magnet Synchronous Machines (SMPMSM). A hybrid sensorless controller combining the signal injection technique and a linearly compensated flux observer is proposed. Using a Delta-Sigma A/D converter and FPGA oversampling technique, this work realizes a high performance high frequency (HF) injection sensorless control method which needs lower HF current response and introduces lower acoustic noises. The linearly compensated flux observer, based on back electromotive force (EMF) is used for sensorless control in the high speed range. The flux observer exhibits high dynamic and steady-state performance and is robust to parameter variation. Using model-based design, with the tools of MATLAB/Simulink and Simulink HDL (hardware description language) Coder, the whole control system is designed and implemented in a single chip. Experimental results demonstrate that the developed sensorless controller has high performance in the whole speed range.Index Terms-Field programmable gate array (FPGA), flux observer, high frequency (HF) injection, model-based design (MBD), sensorless control, synchronous machine (SM).