This study deals with the simulation, design and experiments of an active magnetic bearing. Initially the mathematical model is formed and used to develop a simulation model in VisSim(TM) environment. Later, design optimization is achieved by using FEM analysis and the comparison of the simulation results with objective performance values. Digital type PD controller is developed and a full scale experimental set up is formed. It is shown that, the system is stable at standstill operation and the simulation results are in good agreement with those of theory.