In this paper the space vector modulation based three phase voltage source inverter have been presented.In the proposed system modeling of space vectors, analysis and THD has calculated using the FFT analysis. In comparison with the THD of conventional system, the proposed system presents the lowest harmonic distortion. The speace vector based model have been compared with the carrier based model. A MATLAB/Simulink model of the proposed three phase inverter system was implemented. The validity of the proposed control schemes over a large operating range was verified through simulations.The operation in both grid connected and standalone power sytems has been discussed. © Research India Publications.