Exposing engineering students during their education to real world problems and giving them the chance to apply what they learn in the classroom is a vital element of engineering education. The Embedded Systems course at Princess Sumaya University for Technology (PSUT) is one of the main courses that bridges the gap between theoretical electrical engineering education and the real world. This paper presents the experience of applying project-based learning to enhance teaching the Embedded Systems course at PSUT. The feedback from students illustrated the effectiveness of this method in enhancing the understanding and the ability of students in applying embedded systems design concepts to solve real world engineering problems.