Recently, IEC61850 supports the standardized communication technique in both station bus and process bus, and presents the substation automation model. In this paper, we propose the required techniques to develop the Merging Unit (MU), which is one of the important data acquisition equipment in substation automation, under IEC61850 communication protocol. Especially, we also propose the precision time synchronization technique using GPS(Global Positioning System) for the MU. IEC61850-9-2 SV (Sampled Value) service is applied to the MU which is designed using microprocessor. In order to evaluate the performance of the proposed MU, the playback program, which can reconstruct the transmitted sampled value data on the basis of time information, is developed and the performance of the IEC61850 SV service for MU is verified experimentally.