Intangible cultural heritage is a type of precious wealth in the long history of our country, and we should try our best to protect and spread intangible cultural heritage. In this paper, we develop an intangible cultural heritage system with the augmented reality (AR) technology, which can provide a more natural user interface for engineers and construct fascinating environment for different areas. Particularly, the augmented reality system obtains video frames from the mobile camera, and then converts them to a specific format. Afterwards, this system submits the information of the converted frame and the objects to be tracked in the tracking system. Exploiting the AR technology, we analyze different types of culture to construct the carrier of all types of digital media in several different areas. Next, we propose functional modules of the intangible cultural heritage system and discuss how to develop the intangible cultural heritage software system.