LVDT linear displacement sensor is a highprecision, highly reliable linear displacement transducer, widely used in the displacement measurement system in the field of industrial automation. Currently, there is a common problem that the linearity and intelligence performance of the sensor is on the low side, for that reason, the AD698 is choose as of the core of simulation control system, with STM32F407 as the core of the digital control system. In order to realize the high dependability and adaptability of analog signal rate and reach the advantages of solving nonlinear by digital signal processor, we adopt the scheme of the combination of analog signal processing and digital signal processing. The experiments show that the system has advantages of simple design structure, powerful function, high cost performance, easy operation etc.