Rotor position detection is important for motor servo system design. In general, there are two kinds of methods to obtain the position information in real time, sensor or sensorless methods. The sensor methods use position sensors such as optical encoder. This will greatly increase the cost of the system, and the sensor with high precision is difficult to be installed. On the other hand, the sensorless method can reduce the cost, but the reliability and complexity of the algorithm is still the problems. In this paper, a new low-cost integrated position detection unit, which is composed of the integrated position sensor, signal processing hardware and software, is described. The sensor is easy to manufacture and has better precision with the help of signal processing circuit and software based on DSP. The sensor can obtain absolute rotating angle using inductance detection method, and it is originally designed and used for a 2-phase hybrid stepping motor position servo system. Even though the feedback unit is originally designed for a 2-phase hybrid stepping motor, the same unit also can be used with other types of motors.