Abstract <p>The article discusses a segmented linear position sensor and an algorithm for processing its signals. The segmented sensor is used in automated modular transport systems consisting of stationary modules and movable carriages (movers). The stationary modules include the stator of the permanent magnet linear synchronous motor and the sensing elements of a segmented position sensor. Movers transferred between stationary segments (modules) include a secondary part of the permanent magnet linear synchronous motor – a magnetic path of limited length, as well as a measuring scale of a segmented position sensor. To measure the absolute position of the movers, each module transmits real-time information about the measured position to a controller using a high-speed industrial network. A special software algorithm implemented in the controller restores the position of the movers based on the results of position measurement of each module and the layout of the modules. One of the tasks of improving the quality of motion control is to ensure smooth position feedback over the entire mover range, including segments between adjacent modules. The presented robust signal processing algorithm provides smooth switching between measurement segments with increased accuracy due to a self-correction algorithm that automatically compensates for shifts between adjacent measurement segments. The experimental results obtained on the prototype of the modular transport system confirmed the effectiveness of the proposed approach.</p>