This paper presents a new speed and position sensorless control method of permanent magnet synchronous motors based on the sliding mode observer. Since the parameter of the dynamic equation such as machine inertia or viscosity friction coefficient are not well known and these values can be easily changed generally during normal operation, there are many restrictions in the actual implementation. The proposed adaptive sliding mode observer applies adaptive scheme so that observer may overcome the problem caused by using the dynamic equation. Furthermore, using the Lyapunov Function, the adaptive sliding mode observer can estimate rotor speed as well as stator resistance. The feasibility of the Proposed observer is verified cia the experiments.