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This paper designs a LED display system controlled by AT89C52 MCU (Microcomputer Controller Unit). The AT89C52 controls the external circuit formed by 74HC154 and 74HC595 in order to display characters, Chinese characters and figures. DS1302 is used to control the real time display. Language C is applied to compile program in Keil uVision3 programming environment. The display system is simulated through Proteus software. In Proteus environment, the schematic diagram is drawn. Through stimulation, it achieves real-time display, static display and dynamic display of Chinese characters. It has switch keys to change display state of details. Through the actual simulation, the biggest controllable screen size of the AT89C52 MCU is 64×32. The AT89C52 controls the entire screen display of Chinese characters of 16×16 dot matrix, a total of eight characters. And the key function can be extended.