diff --git a/server/tests/utils/test_rotary_emb.py b/server/tests/utils/test_rotary_emb.py
new file mode 100644
index 00000000..7a3877cc
--- /dev/null
+++ b/server/tests/utils/test_rotary_emb.py
@@ -0,0 +1,275 @@
+import pytest
+import torch
+from unittest.mock import Mock, patch
+from text_generation_server.layers.rotary import (
+    PositionRotaryEmbedding,
+    DynamicPositionRotaryEmbedding,
+    YarnPositionRotaryEmbedding,
+)
+
+
+def test_position_rotary_embedding_static_basic():
+    config = Mock(
+        rope_theta=10000, 
+        max_position_embeddings=2048, 
+        rope_scaling=None
+    )
+    weights = Mock(device=torch.device("cpu"))
+
+    result = PositionRotaryEmbedding.static(
+        config=config,
+        dim=64,
+        base=config.rope_theta,
+        device=weights.device,
+    )
+
+    assert isinstance(result, PositionRotaryEmbedding)
+    assert result.inv_freq.shape == (32,)  # dim // 2
+    assert result.scaling_factor is None
+
+
+def test_position_rotary_embedding_static_linear_scaling():
+    config = Mock(
+        rope_theta=10000, 
+        max_position_embeddings=2048
+    )
+    # scaling is not applied if type is linear (TODO: maybe revisit this)
+    config.rope_scaling = {"type": "linear", "factor": 2.0}
+    weights = Mock(device=torch.device("cpu"))
+
+    result = PositionRotaryEmbedding.static(
+        config=config,
+        dim=64,
+        base=config.rope_theta,
+        device=weights.device,
+    )
+
+    assert isinstance(result, PositionRotaryEmbedding)
+    assert result.scaling_factor is None
+
+
+def test_position_rotary_embedding_static_dynamic_scaling():
+    config = Mock(
+        rope_theta=10000, 
+        max_position_embeddings=2048, 
+        rope_scaling = {"type": "dynamic", "factor": 2.0}
+    )
+    weights = Mock(device=torch.device("cpu"))
+
+    result = PositionRotaryEmbedding.static(
+        config=config,
+        dim=64,
+        base=config.rope_theta,
+        device=weights.device,
+    )
+
+    assert isinstance(result, DynamicPositionRotaryEmbedding)
+    assert result.scaling_factor == 2.0
+    assert result.max_position_embeddings == 2048
+
+
+def test_position_rotary_embedding_static_yarn_scaling():
+    config = Mock(
+        rope_theta=10000, 
+        max_position_embeddings=2048,
+        rope_scaling = {
+            "type": "yarn",
+            "factor": 1.5,
+            "original_max_position_embeddings": 2048,
+        }
+    )
+    weights = Mock(device=torch.device("cpu"))
+
+    result = PositionRotaryEmbedding.static(
+        config=config,
+        dim=64,
+        base=config.rope_theta,
+        device=weights.device,
+    )
+
+    assert isinstance(result, YarnPositionRotaryEmbedding)
+    assert result.scaling_factor == 1.5
+    assert result.max_position_embeddings == 2048
+
+
+def test_position_rotary_embedding_static_invalid_scaling():
+    config = Mock(
+        rope_theta=10000, 
+        max_position_embeddings=2048, 
+        rope_scaling = {"type": "invalid", "factor": 2.0}
+    )
+    weights = Mock(device=torch.device("cpu"))
+
+    with pytest.raises(NotImplementedError):
+        PositionRotaryEmbedding.static(
+            config=config,
+            dim=64,
+            base=config.rope_theta,
+            device=weights.device,
+        )
+
+
+def test_position_rotary_embedding_static_llama3_scaling():
+    config = Mock(
+        rope_theta=10000, 
+        max_position_embeddings=2048,
+        rope_scaling = {
+            "rope_type": "llama3",
+            "factor": 2.0,
+            "low_freq_factor": 4,
+            "high_freq_factor": 32,
+            "original_max_position_embeddings": 2048,
+        })
+    weights = Mock(device=torch.device("cpu"))
+
+    result = PositionRotaryEmbedding.static(
+        config=config,
+        dim=64,
+        base=config.rope_theta,
+        device=weights.device,
+    )
+
+    assert isinstance(result, PositionRotaryEmbedding)
+    assert result.scaling_factor is None
+
+
+def test_position_rotary_embedding_max_tokens_exceed_max_position_embeddings():
+    config = Mock(
+        rope_theta=10000,
+        max_position_embeddings=4096,
+        rope_scaling=None,
+    )
+    weights = Mock(device=torch.device("cpu"))
+
+    with patch(
+        "text_generation_server.layers.rotary._get_rope_config"
+    ) as mock_get_rope_config:
+        mock_get_rope_config.return_value = {"type": "dynamic", "factor": 2.0}
+
+        result = PositionRotaryEmbedding.static(
+            config=config,
+            dim=64,
+            base=config.rope_theta,
+            device=weights.device,
+        )
+
+    assert isinstance(result, DynamicPositionRotaryEmbedding)
+    assert result.scaling_factor == 2.0
+    assert result.max_position_embeddings == 4096
+
+# Test the application of the rotary embedding
+
+def test_position_rotary_embedding_no_rope_config():
+    head_dim = 64
+    base = 10000
+    max_position_embeddings = 2048
+    num_heads = 16
+    batch_size = 2
+    seq_len = 128
+
+    device = "cuda"
+    dtype = torch.float16
+
+    config = Mock(
+        rope_theta=base, 
+        max_position_embeddings=max_position_embeddings,
+        rope_scaling=None
+    )
+
+    # create PositionRotaryEmbedding instance
+    rotary_emb = PositionRotaryEmbedding.static(
+        config=config, dim=head_dim, base=base, device=device
+    )
+
+    # generate position IDs
+    position_ids = torch.arange(seq_len).unsqueeze(0)
+    position_ids = position_ids.to(device).to(torch.int32).view(-1)
+
+    # get cos and sin values for the position IDs
+    cos, sin = rotary_emb.get_cos_sin(
+        position_ids=position_ids,
+        max_s=seq_len,
+        dtype=dtype,
+    )
+
+    # create query and key tensors
+    query = torch.randn(batch_size, seq_len, num_heads, head_dim).to(device).to(dtype)
+    key = torch.randn(batch_size, seq_len, num_heads, head_dim).to(device).to(dtype)
+
+    # clone to compare later
+    original_query = query.clone()
+    original_key = key.clone()
+
+    # apply rotary embedding
+    rotary_emb(query, key, cos, sin)
+
+    # copy rotated query and key and original query and key
+    q_rotated = query
+    k_rotated = key
+    query = original_query
+    key = original_key
+
+    assert (
+        q_rotated.shape == query.shape
+    ), "query shape should not change after rotation"
+    assert k_rotated.shape == key.shape, "key shape should not change after rotation"
+    assert not torch.allclose(q_rotated, query), "query should be modified by rotation"
+    assert not torch.allclose(k_rotated, key), "key should be modified by rotation"
+
+
+def test_position_rotary_embedding_with_dynamic_scaling():
+    head_dim = 64
+    base = 10000
+    max_position_embeddings = 2048
+    num_heads = 16
+    batch_size = 2
+    seq_len = 128
+
+    device = "cuda"
+    dtype = torch.float16
+
+    config = Mock(
+        rope_theta=base, 
+        max_position_embeddings=max_position_embeddings, 
+        rope_scaling={"type": "dynamic", "factor": 1.0}
+    )
+
+    # create PositionRotaryEmbedding instance
+    rotary_emb = PositionRotaryEmbedding.static(
+        config=config, dim=head_dim, base=base, device=device
+    )
+
+    # generate position IDs
+    position_ids = torch.arange(seq_len).unsqueeze(0)
+    position_ids = position_ids.to(device).to(torch.int32).view(-1)
+
+    # get cos and sin values for the position IDs
+    cos, sin = rotary_emb.get_cos_sin(
+        position_ids=position_ids,
+        max_s=seq_len,
+        dtype=dtype,
+    )
+
+    # create query and key tensors
+    query = torch.randn(batch_size, seq_len, num_heads, head_dim).to(device).to(dtype)
+    key = torch.randn(batch_size, seq_len, num_heads, head_dim).to(device).to(dtype)
+
+    # clone to compare later
+    original_query = query.clone()
+    original_key = key.clone()
+
+    # apply rotary embedding
+    rotary_emb(query, key, cos, sin)
+
+    # copy rotated query and key and original query and key
+    q_rotated = query
+    k_rotated = key
+    query = original_query
+    key = original_key
+
+    assert (
+        q_rotated.shape == query.shape
+    ), "query shape should not change after rotation"
+    assert k_rotated.shape == key.shape, "key shape should not change after rotation"
+    assert not torch.allclose(q_rotated, query), "query should be modified by rotation"
+    assert not torch.allclose(k_rotated, key), "key should be modified by rotation"