This paper reviews the use of permanent magnet synchronous motors (PMSMs) across industries and the significance of precise rotor position and motor speed data. It presents two methods of obtaining rotor position information: using mechanical position sensors, which are expensive and less reliable, and the rotor position observer method, which is sensitive to changes in motor parameters. This paper reviews the advantages, drawbacks, challenges, and applications of lowresolution Hall position sensors for PMSM position estimation and control, in order to balance performance and cost. It also discusses recent solutions to address issues related to misplaced Hall sensors and fault-tolerant control, while looking forward to future developments in this area.