As materials with various properties have been developed for the improvement of performance and lowering material cost of Permanent Magnet (PM) motors, the properties of the materials have become major factors in determining the motor performance. As such a material, the recently-developed anisotropic bonded NdFeB PM showed a nonlinear demagnetization curve. Thus in this paper, by considering the nonlinear property of the PM, a process to calculate the operating point, coupled with a nonlinear analysis of the core, is proposed, and by applying this process, the characteristics of Interior Permanent Magnet Synchronous Motor according to different rotor designs are investigated.Index Terms-Demagnetization, finite element analysis, nonlinear magnetics, operating point, permanent magnet motors.