The compressor has one of important roles in refrigeration cycle and it determines refrigeration efficiency and quality This paper aims to monitor rotary compressors for room air conditioners by using Acoustic Emission(AE) technique. The reliability of rotary compressors has been evaluated through visual inspection on them after long term test. This paper describes methods for acquisition and processing AE raw signal to monitor the state of rotary compressor. A detecting method of abnormal compressor in real time is suggested and special-purpose monitoring system which can be applied to automatic manufacturing line is developed using one-chip microprocessor at low cost.