A method and apparatus for embedding a chip in a substrate to form a composite air bearing surface. An example of the method includes securing the substrate in a fixed position, aligning the chip in a first direction with a chip receiving slot in the substrate, depositing adhesive in the chip receiving slot, and aligning the chip in a second direction with the chip receiving slot. The chip is pushed into the adhesive in the chip receiving slot until the air bearing surface of the chip is substantially at a desired protrusion in a third direction in relation to the air bearing surface of the substrate. The adhesive is cured with the air bearing surface of the chip substantially at the desired protrusion in the third direction, and with the chip substantially aligned in the first and second directions with chip receiving slot.