Digital micromirror device (DMD) and spatial heterodyne spectroscopy (SHS) combined modulation interference spectroscopy (DMD–SHS) introduces a DMD for the secondary modulation of interferometric data to achieve a Hadamard transform. DMD–SHS can improve the performance index of the spectrometer in terms of the SNR, dynamic range, and spectral bandwidth, while retaining the advantages of a conventional SHS. The DMD–SHS optical system is more complex than a traditional SHS, which places more demands on the optical system’s spatial layout and the optical components’ performance. According to the DMD–SHS modulation mechanism, the functions of the main components were analyzed, and their design requirements were determined. Based on the potassium spectra detection, a DMD–SHS experimental device was designed. The potassium lamp and integrating sphere detection experiments demonstrated the detection capability of the DMD–SHS experimental device with a spectral resolution of 0.0327 nm and a spectral range of 763.66∼771.25nm, which thoroughly verified the feasibility of DMD and SHS combined modulation interference spectroscopy.