diff --git a/CODEOWNERS b/CODEOWNERS
index a9e067ad4347..e405a87683d6 100644
--- a/CODEOWNERS
+++ b/CODEOWNERS
@@ -254,6 +254,7 @@ Kconfig*                                  @tejlmand
 /snippets/nordic-bt-rpc/                  @ppryga-nordic
 /snippets/ci-shell/                       @nrfconnect/ncs-protocols-serialization
 /snippets/zperf/                          @nrfconnect/ncs-protocols-serialization
+/subsys/audio/                            @nrfconnect/ncs-audio
 /subsys/audio_module/                     @nrfconnect/ncs-audio
 /subsys/bluetooth/                        @alwa-nordic @jori-nordic @carlescufi @KAGA164
 /subsys/bluetooth/mesh/                   @nrfconnect/ncs-paladin
@@ -360,6 +361,7 @@ Kconfig*                                  @tejlmand
 /tests/modules/mcuboot/direct_xip/        @hakonfam
 /tests/modules/mcuboot/external_flash/    @hakonfam @sigvartmh
 /tests/nrf5340_audio/                     @nrfconnect/ncs-audio @nordic-auko
+/tests/subsys/audio/                      @nrfconnect/ncs-audio
 /tests/subsys/audio_module/               @nrfconnect/ncs-audio
 /tests/subsys/bluetooth/gatt_dm/          @doki-nordic
 /tests/subsys/bluetooth/mesh/             @nrfconnect/ncs-paladin
diff --git a/include/audio/audio_module_template.h b/include/audio/audio_module_template.h
new file mode 100644
index 000000000000..64b7b1e32c53
--- /dev/null
+++ b/include/audio/audio_module_template.h
@@ -0,0 +1,51 @@
+/*
+ * Copyright(c) 2024 Nordic Semiconductor ASA
+ *
+ * SPDX-License-Identifier: LicenseRef-Nordic-5-Clause
+ */
+#ifndef _AUDIO_MODULE_TEMPLATE_H_
+#define _AUDIO_MODULE_TEMPLATE_H_
+
+#include <stdbool.h>
+#include <stddef.h>
+#include <stdint.h>
+#include "audio_defines.h"
+#include "audio_module.h"
+
+/* @brief Size of the data block within the template context, for testing. */
+#define AUDIO_MODULE_TEMPLATE_DATA_BYTES (10)
+
+/**
+ * @brief Private pointer to the module's parameters.
+ *
+ */
+extern struct audio_module_description *audio_module_template_description;
+
+/**
+ * @brief The module configuration structure.
+ *
+ */
+struct audio_module_template_configuration {
+	/* The sample rate, for testing. */
+	uint32_t sample_rate_hz;
+
+	/* The bit depth, for testing. */
+	uint8_t bit_depth;
+
+	/* A string for testing.*/
+	char *module_description;
+};
+
+/**
+ * @brief  Private module context.
+ *
+ */
+struct audio_module_template_context {
+	/* Array of data to illustrate the data process function. */
+	uint8_t audio_module_template_data[AUDIO_MODULE_TEMPLATE_DATA_BYTES];
+
+	/* The template configuration. */
+	struct audio_module_template_configuration config;
+};
+
+#endif /* _AUDIO_MODULE_TEMPLATE_H_ */
diff --git a/scripts/ci/tags.yaml b/scripts/ci/tags.yaml
index 433474025b68..138546666629 100644
--- a/scripts/ci/tags.yaml
+++ b/scripts/ci/tags.yaml
@@ -920,6 +920,8 @@ ci_tests_subsys_audio_module:
   files:
     - nrf/subsys/audio_module/
     - nrf/tests/subsys/audio_module/
+    - nrf/subsys/audio/
+    - nrf/tests/subsys/audio/
 
 ci_tests_subsys_mpsl:
   files:
diff --git a/subsys/CMakeLists.txt b/subsys/CMakeLists.txt
index 7afba217388b..80023be74eea 100644
--- a/subsys/CMakeLists.txt
+++ b/subsys/CMakeLists.txt
@@ -70,6 +70,7 @@ add_subdirectory_ifdef(CONFIG_NRF_DM dm)
 add_subdirectory_ifdef(CONFIG_EMDS emds)
 add_subdirectory_ifdef(CONFIG_NET_CORE_MONITOR net_core_monitor)
 add_subdirectory_ifdef(CONFIG_AUDIO_MODULE audio_module)
+add_subdirectory_ifdef(CONFIG_AUDIO_MODULE_TEMPLATE audio/audio_module_template)
 add_subdirectory_ifdef(CONFIG_UART_ASYNC_ADAPTER uart_async_adapter)
 add_subdirectory_ifdef(CONFIG_SDFW_SERVICES_ENABLED sdfw_services)
 add_subdirectory(suit)
diff --git a/subsys/Kconfig b/subsys/Kconfig
index 04ba79518fee..b17cb90fd3ac 100644
--- a/subsys/Kconfig
+++ b/subsys/Kconfig
@@ -34,6 +34,7 @@ rsource "dm/Kconfig"
 rsource "nrf_security/Kconfig"
 rsource "net_core_monitor/Kconfig"
 rsource "audio_module/Kconfig"
+rsource "audio/audio_module_template/Kconfig"
 rsource "uart_async_adapter/Kconfig"
 rsource "trusted_storage/Kconfig"
 rsource "logging/Kconfig"
diff --git a/subsys/audio/audio_module_template/CMakeLists.txt b/subsys/audio/audio_module_template/CMakeLists.txt
new file mode 100644
index 000000000000..b04750c1dcdf
--- /dev/null
+++ b/subsys/audio/audio_module_template/CMakeLists.txt
@@ -0,0 +1,10 @@
+#
+# Copyright (c) 2024 Nordic Semiconductor
+#
+# SPDX-License-Identifier: LicenseRef-Nordic-5-Clause
+#
+
+target_sources(app PRIVATE ${CMAKE_CURRENT_SOURCE_DIR}/audio_module_template.c)
+
+target_include_directories(app PRIVATE ${ZEPHYR_NRF_MODULE_DIR}/include/audio_module
+                     ${ZEPHYR_NRF_MODULE_DIR}/include/audio)
diff --git a/subsys/audio/audio_module_template/Kconfig b/subsys/audio/audio_module_template/Kconfig
new file mode 100644
index 000000000000..6f8ca0f4d7b5
--- /dev/null
+++ b/subsys/audio/audio_module_template/Kconfig
@@ -0,0 +1,27 @@
+#
+# Copyright (c) 2024 Nordic Semiconductor ASA
+#
+# SPDX-License-Identifier: LicenseRef-Nordic-5-Clause
+#
+menu "Audio Modules"
+
+config AUDIO_MODULE_TEMPLATE
+	bool "Audio module template"
+	help
+	  Enable the audio module template, the
+	  starting point for a new audio module
+
+if AUDIO_MODULE_TEMPLATE
+
+#----------------------------------------------------------------------------#
+menu "Log levels"
+
+module = AUDIO_MODULE_TEMPLATE
+module-str = audio_module
+source "subsys/logging/Kconfig.template.log_config"
+
+endmenu # Log levels
+
+endif # AUDIO_MODULE_TEMPLATE
+
+endmenu # Audio Modules
diff --git a/subsys/audio/audio_module_template/audio_module_template.c b/subsys/audio/audio_module_template/audio_module_template.c
new file mode 100644
index 000000000000..45924ad6f6e4
--- /dev/null
+++ b/subsys/audio/audio_module_template/audio_module_template.c
@@ -0,0 +1,201 @@
+/*
+ * Copyright(c) 2024 Nordic Semiconductor ASA
+ *
+ * SPDX-License-Identifier: LicenseRef-Nordic-5-Clause
+ */
+#include "audio_module_template.h"
+
+#include <stdlib.h>
+#include <stdio.h>
+#include <ctype.h>
+#include <zephyr/kernel.h>
+#include <errno.h>
+#include "audio_defines.h"
+#include "audio_module.h"
+
+#include <zephyr/logging/log.h>
+LOG_MODULE_REGISTER(audio_module_template, CONFIG_AUDIO_MODULE_TEMPLATE_LOG_LEVEL);
+
+static int audio_module_template_open(struct audio_module_handle_private *handle,
+				      struct audio_module_configuration const *const configuration)
+
+{
+	struct audio_module_handle *hdl = (struct audio_module_handle *)handle;
+	struct audio_module_template_context *ctx =
+		(struct audio_module_template_context *)hdl->context;
+	struct audio_module_template_configuration *config =
+		(struct audio_module_template_configuration *)configuration;
+
+	/* Perform any other functions required to open the module. */
+
+	/* For example: Clear the module's context.
+	 *              Save the initial configuration to the module context.
+	 */
+	memset(ctx, 0, sizeof(struct audio_module_template_context));
+	memcpy(&ctx->config, config, sizeof(struct audio_module_template_configuration));
+
+	LOG_DBG("Open %s module", hdl->name);
+
+	return 0;
+}
+
+static int audio_module_template_close(struct audio_module_handle_private *handle)
+{
+	struct audio_module_handle *hdl = (struct audio_module_handle *)handle;
+	struct audio_module_template_context *ctx =
+		(struct audio_module_template_context *)hdl->context;
+
+	/* Perform any other functions required to close the module. */
+
+	/* For example: Clear the context data */
+	memset(ctx, 0, sizeof(struct audio_module_template_context));
+
+	LOG_DBG("Close %s module", hdl->name);
+
+	return 0;
+}
+
+static int audio_module_template_configuration_set(
+	struct audio_module_handle_private *handle,
+	struct audio_module_configuration const *const configuration)
+{
+	struct audio_module_template_configuration *config =
+		(struct audio_module_template_configuration *)configuration;
+	struct audio_module_handle *hdl = (struct audio_module_handle *)handle;
+	struct audio_module_template_context *ctx =
+		(struct audio_module_template_context *)hdl->context;
+
+	/* Perform any other functions to configure the module. */
+
+	/* For example: Copy the configuration into the context. */
+	memcpy(&ctx->config, config, sizeof(struct audio_module_template_configuration));
+
+	LOG_DBG("Set the configuration for %s module: sample rate = %d  bit depth = %d  string = "
+		"%s",
+		hdl->name, ctx->config.sample_rate_hz, ctx->config.bit_depth,
+		ctx->config.module_description);
+
+	return 0;
+}
+
+static int
+audio_module_template_configuration_get(struct audio_module_handle_private const *const handle,
+					struct audio_module_configuration *configuration)
+{
+	struct audio_module_template_configuration *config =
+		(struct audio_module_template_configuration *)configuration;
+	struct audio_module_handle *hdl = (struct audio_module_handle *)handle;
+	struct audio_module_template_context *ctx =
+		(struct audio_module_template_context *)hdl->context;
+
+	/* Perform any other functions to extract the configuration of the module. */
+
+	/* For example: Copy the configuration from the context into the output configuration. */
+	memcpy(config, &ctx->config, sizeof(struct audio_module_template_configuration));
+
+	LOG_DBG("Get the configuration for %s module: sample rate = %d  bit depth = %d  string = "
+		"%s",
+		hdl->name, config->sample_rate_hz, config->bit_depth, config->module_description);
+
+	return 0;
+}
+
+static int audio_module_template_start(struct audio_module_handle_private *handle)
+{
+	struct audio_module_handle *hdl = (struct audio_module_handle *)handle;
+
+	/* Perform any other functions to start the module. */
+
+	LOG_DBG("Start the %s module", hdl->name);
+
+	return 0;
+}
+
+static int audio_module_template_stop(struct audio_module_handle_private *handle)
+{
+	struct audio_module_handle *hdl = (struct audio_module_handle *)handle;
+
+	/* Perform any other functions to stop the module. */
+
+	LOG_DBG("Stop the %s module", hdl->name);
+
+	return 0;
+}
+
+static int audio_module_template_data_process(struct audio_module_handle_private *handle,
+					      struct audio_data const *const audio_data_in,
+					      struct audio_data *audio_data_out)
+{
+	struct audio_module_handle *hdl = (struct audio_module_handle *)handle;
+
+	/* Perform any other functions to process the data within the module. */
+
+	/* For example: Copy the input to the output. */
+	{
+		size_t size = audio_data_in->data_size < audio_data_out->data_size
+				      ? audio_data_in->data_size
+				      : audio_data_out->data_size;
+
+		memcpy(&audio_data_out->meta, &audio_data_in->meta, sizeof(struct audio_metadata));
+		memcpy(audio_data_out->data, audio_data_in->data, size);
+		audio_data_out->data_size = size;
+	}
+
+	LOG_DBG("Process the input audio data into the output audio data item for %s module",
+		hdl->name);
+
+	return 0;
+}
+
+/**
+ * @brief Table of the dummy module functions.
+ */
+const struct audio_module_functions audio_module_template_functions = {
+	/**
+	 * @brief  Function to an open the dummy module.
+	 */
+	.open = audio_module_template_open,
+
+	/**
+	 * @brief  Function to close the dummy module.
+	 */
+	.close = audio_module_template_close,
+
+	/**
+	 * @brief  Function to set the configuration of the dummy module.
+	 */
+	.configuration_set = audio_module_template_configuration_set,
+
+	/**
+	 * @brief  Function to get the configuration of the dummy module.
+	 */
+	.configuration_get = audio_module_template_configuration_get,
+
+	/**
+	 * @brief Start a module processing data.
+	 */
+	.start = audio_module_template_start,
+
+	/**
+	 * @brief Pause a module processing data.
+	 */
+	.stop = audio_module_template_stop,
+
+	/**
+	 * @brief The core data processing function in the dummy module.
+	 */
+	.data_process = audio_module_template_data_process,
+};
+
+/**
+ * @brief The set-up description for the LC3 decoder.
+ */
+struct audio_module_description audio_module_template_dept = {
+	.name = "Audio Module Temp",
+	.type = AUDIO_MODULE_TYPE_IN_OUT,
+	.functions = &audio_module_template_functions};
+
+/**
+ * @brief A private pointer to the template set-up parameters.
+ */
+struct audio_module_description *audio_module_template_description = &audio_module_template_dept;
diff --git a/tests/subsys/audio/audio_module_template/CMakeLists.txt b/tests/subsys/audio/audio_module_template/CMakeLists.txt
new file mode 100644
index 000000000000..ee674c7ebafc
--- /dev/null
+++ b/tests/subsys/audio/audio_module_template/CMakeLists.txt
@@ -0,0 +1,17 @@
+#
+# Copyright (c) 2024 Nordic Semiconductor ASA
+#
+# SPDX-License-Identifier: LicenseRef-Nordic-5-Clause
+#
+
+cmake_minimum_required(VERSION 3.20.0)
+
+find_package(Zephyr REQUIRED HINTS $ENV{ZEPHYR_BASE})
+project("Audio module Template")
+
+target_sources(app PRIVATE
+	src/main.c
+	src/template_test.c
+)
+
+target_include_directories(app PRIVATE ${ZEPHYR_NRF_MODULE_DIR}/subsys/audio/audio_module_template)
diff --git a/tests/subsys/audio/audio_module_template/prj.conf b/tests/subsys/audio/audio_module_template/prj.conf
new file mode 100644
index 000000000000..5aa1308f4a9e
--- /dev/null
+++ b/tests/subsys/audio/audio_module_template/prj.conf
@@ -0,0 +1,17 @@
+#
+# Copyright (c) 2024 Nordic Semiconductor ASA
+#
+# SPDX-License-Identifier: LicenseRef-Nordic-5-Clause
+#
+
+CONFIG_ZTEST=y
+CONFIG_ZTEST_STACK_SIZE=8196
+CONFIG_IRQ_OFFLOAD=y
+CONFIG_DATA_FIFO=y
+CONFIG_AUDIO_MODULE=y
+CONFIG_AUDIO_MODULE_TEMPLATE=y
+
+# The large stack size can be optimized
+CONFIG_MAIN_STACK_SIZE=16000
+
+CONFIG_STACK_SENTINEL=y
diff --git a/tests/subsys/audio/audio_module_template/src/main.c b/tests/subsys/audio/audio_module_template/src/main.c
new file mode 100644
index 000000000000..fe0369f7b663
--- /dev/null
+++ b/tests/subsys/audio/audio_module_template/src/main.c
@@ -0,0 +1,11 @@
+/*
+ * Copyright (c) 2024 Nordic Semiconductor ASA
+ *
+ * SPDX-License-Identifier: LicenseRef-Nordic-5-Clause
+ */
+
+#include <zephyr/fff.h>
+#include <zephyr/ztest.h>
+#include <errno.h>
+
+ZTEST_SUITE(suite_audio_module_template, NULL, NULL, NULL, NULL, NULL);
diff --git a/tests/subsys/audio/audio_module_template/src/template_test.c b/tests/subsys/audio/audio_module_template/src/template_test.c
new file mode 100644
index 000000000000..89fc3baf2fd4
--- /dev/null
+++ b/tests/subsys/audio/audio_module_template/src/template_test.c
@@ -0,0 +1,311 @@
+/*
+ * Copyright (c) 2024 Nordic Semiconductor ASA
+ *
+ * SPDX-License-Identifier: LicenseRef-Nordic-5-Clause
+ */
+
+#include <zephyr/fff.h>
+#include <zephyr/ztest.h>
+#include <errno.h>
+
+#include "audio_module.h"
+#include "audio_module_template.h"
+
+/* Define a timeout to prevent system locking */
+#define TEST_TX_RX_TIMEOUT_US (K_FOREVER)
+
+#define CONFIG_TEXT   "Template config"
+#define RECONFIG_TEXT "Template reconfig"
+
+#define TEST_MSG_QUEUE_SIZE	   (4)
+#define TEST_MOD_THREAD_STACK_SIZE (2048)
+#define TEST_MOD_THREAD_PRIORITY   (4)
+#define TEST_CONNECTIONS_NUM	   (5)
+#define TEST_MODULES_NUM	   (TEST_CONNECTIONS_NUM - 1)
+#define TEST_MOD_DATA_SIZE	   (40)
+#define TEST_MSG_SIZE		   (sizeof(struct audio_module_message))
+#define TEST_AUDIO_DATA_ITEMS_NUM  (20)
+
+struct mod_config {
+	int test_int1;
+	int test_int2;
+	int test_int3;
+	int test_int4;
+};
+
+struct mod_context {
+	const char *test_string;
+	uint32_t test_uint32;
+	struct mod_config config;
+};
+
+const char *test_instance_name = "Test instance";
+struct audio_metadata test_metadata = {.data_coding = LC3,
+				       .data_len_us = 10000,
+				       .sample_rate_hz = 48000,
+				       .bits_per_sample = 16,
+				       .carried_bits_per_sample = 16,
+				       .locations = 0x00000003,
+				       .reference_ts_us = 0,
+				       .data_rx_ts_us = 0,
+				       .bad_data = false};
+
+K_THREAD_STACK_ARRAY_DEFINE(mod_temp_stack, TEST_MODULES_NUM, TEST_MOD_THREAD_STACK_SIZE);
+DATA_FIFO_DEFINE(msg_fifo_tx0, TEST_MSG_QUEUE_SIZE, TEST_MSG_SIZE);
+DATA_FIFO_DEFINE(msg_fifo_rx0, TEST_MSG_QUEUE_SIZE, TEST_MSG_SIZE);
+DATA_FIFO_DEFINE(msg_fifo_tx1, TEST_MSG_QUEUE_SIZE, TEST_MSG_SIZE);
+DATA_FIFO_DEFINE(msg_fifo_rx1, TEST_MSG_QUEUE_SIZE, TEST_MSG_SIZE);
+DATA_FIFO_DEFINE(msg_fifo_tx2, TEST_MSG_QUEUE_SIZE, TEST_MSG_SIZE);
+DATA_FIFO_DEFINE(msg_fifo_rx2, TEST_MSG_QUEUE_SIZE, TEST_MSG_SIZE);
+DATA_FIFO_DEFINE(msg_fifo_tx3, TEST_MSG_QUEUE_SIZE, TEST_MSG_SIZE);
+DATA_FIFO_DEFINE(msg_fifo_rx3, TEST_MSG_QUEUE_SIZE, TEST_MSG_SIZE);
+K_MEM_SLAB_DEFINE(mod_data_slab, TEST_MOD_DATA_SIZE, TEST_MSG_QUEUE_SIZE, 4);
+
+struct data_fifo *msg_fifo_tx_array[TEST_MODULES_NUM] = {&msg_fifo_tx0, &msg_fifo_tx1,
+							 &msg_fifo_tx2, &msg_fifo_tx3};
+struct data_fifo *msg_fifo_rx_array[TEST_MODULES_NUM] = {&msg_fifo_rx0, &msg_fifo_rx1,
+							 &msg_fifo_rx2, &msg_fifo_rx3};
+
+ZTEST(suite_audio_module_template, test_module_template)
+{
+	int ret;
+	int i;
+	char *base_name, instance_name[CONFIG_AUDIO_MODULE_NAME_SIZE];
+
+	struct audio_data audio_data_tx;
+	struct audio_data audio_data_rx;
+
+	struct audio_module_parameters mod_parameters;
+
+	struct audio_module_template_configuration configuration = {
+		.sample_rate_hz = 48000, .bit_depth = 24, .module_description = CONFIG_TEXT};
+	struct audio_module_template_configuration reconfiguration = {
+		.sample_rate_hz = 16000, .bit_depth = 8, .module_description = RECONFIG_TEXT};
+	struct audio_module_template_configuration return_configuration;
+
+	struct audio_module_template_context context = {0};
+
+	uint8_t test_data_in[TEST_MOD_DATA_SIZE * TEST_AUDIO_DATA_ITEMS_NUM];
+	uint8_t test_data_out[TEST_MOD_DATA_SIZE * TEST_AUDIO_DATA_ITEMS_NUM];
+
+	struct audio_module_handle handle;
+
+	mod_parameters.description = audio_module_template_description;
+	mod_parameters.thread.stack = mod_temp_stack[0];
+	mod_parameters.thread.stack_size = TEST_MOD_THREAD_STACK_SIZE;
+	mod_parameters.thread.priority = TEST_MOD_THREAD_PRIORITY;
+	mod_parameters.thread.data_slab = &mod_data_slab;
+	mod_parameters.thread.data_size = TEST_MOD_DATA_SIZE;
+	mod_parameters.thread.msg_rx = &msg_fifo_rx0;
+	mod_parameters.thread.msg_tx = &msg_fifo_tx0;
+
+	ret = audio_module_open(
+		&mod_parameters, (struct audio_module_configuration const *const)&configuration,
+		test_instance_name, (struct audio_module_context *)&context, &handle);
+	zassert_equal(ret, 0, "Open function did not return successfully (0): ret %d", ret);
+
+	{
+		struct audio_module_template_context *ctx =
+			(struct audio_module_template_context *)handle.context;
+		struct audio_module_template_configuration *test_config = &ctx->config;
+
+		zassert_equal(test_config->bit_depth, configuration.bit_depth,
+			      "Failed to configure module in the open function");
+		zassert_equal(test_config->sample_rate_hz, configuration.sample_rate_hz,
+			      "Failed to configure module in the open function");
+		zassert_mem_equal(test_config->module_description, configuration.module_description,
+				  sizeof(CONFIG_TEXT),
+				  "Failed to configure module in the open function");
+	}
+
+	zassert_equal_ptr(handle.description->name, audio_module_template_description->name,
+			  "Failed open for names, base name should be %s, but is %s",
+			  audio_module_template_description->name, handle.description->name);
+	zassert_mem_equal(&handle.name[0], test_instance_name, strlen(test_instance_name),
+			  "Failed open for names, instance name should be %s, but is %s",
+			  test_instance_name, handle.name);
+	zassert_equal(handle.state, AUDIO_MODULE_STATE_CONFIGURED,
+		      "Not in configured state after call to open the audio module");
+
+	ret = audio_module_names_get(&handle, &base_name, &instance_name[0]);
+	zassert_equal(ret, 0, "Get names function did not return successfully (0): ret %d", ret);
+	zassert_mem_equal(base_name, audio_module_template_description->name,
+			  strlen(audio_module_template_description->name),
+			  "Failed get names, base name should be %s, but is %s",
+			  audio_module_template_description->name, base_name);
+	zassert_mem_equal(&instance_name[0], test_instance_name, strlen(test_instance_name),
+			  "Failed get names, instance name should be %s, but is %s", handle.name,
+			  &instance_name[0]);
+
+	ret = audio_module_configuration_get(
+		&handle, (struct audio_module_configuration *)&return_configuration);
+	zassert_equal(ret, 0, "Configuration get function did not return successfully (0): ret %d",
+		      ret);
+	zassert_equal(return_configuration.bit_depth, configuration.bit_depth,
+		      "Failed to get configuration");
+	zassert_equal(return_configuration.sample_rate_hz, configuration.sample_rate_hz,
+		      "Failed to get configuration");
+	zassert_mem_equal(return_configuration.module_description, configuration.module_description,
+			  sizeof(CONFIG_TEXT), "Failed to get configuration");
+
+	ret = audio_module_connect(&handle, NULL, true);
+	zassert_equal(ret, 0, "Connect function did not return successfully (0): ret %d", ret);
+	zassert_equal(handle.use_tx_queue, 1, "Connect queue size is not %d, but is %d", 1,
+		      handle.use_tx_queue);
+
+	ret = audio_module_start(&handle);
+	zassert_equal(ret, 0, "Start function did not return successfully (0): ret %d", ret);
+	zassert_equal(handle.state, AUDIO_MODULE_STATE_RUNNING,
+		      "Not in running state after call to start the audio module");
+
+	for (i = 0; i < TEST_AUDIO_DATA_ITEMS_NUM; i++) {
+		audio_data_tx.data = (void *)&test_data_in[i * TEST_MOD_DATA_SIZE];
+		audio_data_tx.data_size = TEST_MOD_DATA_SIZE;
+		memcpy(&audio_data_tx.meta, &test_metadata, sizeof(struct audio_metadata));
+
+		audio_data_rx.data = (void *)&test_data_out[i * TEST_MOD_DATA_SIZE];
+		audio_data_rx.data_size = TEST_MOD_DATA_SIZE;
+
+		ret = audio_module_data_tx_rx(&handle, &handle, &audio_data_tx, &audio_data_rx,
+					      TEST_TX_RX_TIMEOUT_US);
+		zassert_equal(ret, 0, "Data TX-RX function did not return successfully (0): ret %d",
+			      ret);
+		zassert_mem_equal(audio_data_tx.data, audio_data_rx.data, TEST_MOD_DATA_SIZE,
+				  "Failed to process data");
+		zassert_equal(audio_data_tx.data_size, audio_data_rx.data_size,
+			      "Failed to process data, sizes differ");
+		zassert_mem_equal(&audio_data_tx.meta, &audio_data_rx.meta,
+				  sizeof(struct audio_metadata),
+				  "Failed to process data, meta data differs");
+
+		if (i == TEST_AUDIO_DATA_ITEMS_NUM / 2) {
+			ret = audio_module_stop(&handle);
+			zassert_equal(ret, 0,
+				      "Stop function did not return successfully (0): ret %d", ret);
+
+			ret = audio_module_reconfigure(
+				&handle,
+				(const struct audio_module_configuration *const)&reconfiguration);
+			zassert_equal(
+				ret, 0,
+				"Reconfigure function did not return successfully (0): ret %d",
+				ret);
+			zassert_equal(reconfiguration.bit_depth, reconfiguration.bit_depth,
+				      "Failed to reconfigure module");
+			zassert_equal(reconfiguration.sample_rate_hz,
+				      reconfiguration.sample_rate_hz,
+				      "Failed to reconfigure module");
+			zassert_mem_equal(reconfiguration.module_description,
+					  reconfiguration.module_description, sizeof(RECONFIG_TEXT),
+					  "Failed to reconfigure module");
+
+			ret = audio_module_start(&handle);
+			zassert_equal(ret, 0,
+				      "Start function did not return successfully (0): ret %d",
+				      ret);
+			zassert_equal(handle.state, AUDIO_MODULE_STATE_RUNNING,
+				      "Not in running state after call to start the audio module");
+		}
+	}
+
+	ret = audio_module_disconnect(&handle, NULL, true);
+	zassert_equal(ret, 0, "Disconnect function did not return successfully (0): ret %d", ret);
+	zassert_equal(handle.use_tx_queue, 0, "Disconnect queue size is not %d, but is %d", 0,
+		      handle.use_tx_queue);
+
+	ret = audio_module_stop(&handle);
+	zassert_equal(ret, 0, "Stop function did not return successfully (0): ret %d", ret);
+	zassert_equal(handle.state, AUDIO_MODULE_STATE_STOPPED,
+		      "Not in stopped state after call to stop the audio module");
+
+	ret = audio_module_close(&handle);
+	zassert_equal(ret, 0, "Close function did not return successfully (0): ret %d", ret);
+}
+
+ZTEST(suite_audio_module_template, test_module_template_stream)
+{
+	int ret;
+	int i;
+	char inst_name[CONFIG_AUDIO_MODULE_NAME_SIZE];
+
+	struct audio_data audio_data_tx;
+	struct audio_data audio_data_rx;
+
+	struct audio_module_parameters mod_parameters;
+
+	struct audio_module_template_configuration configuration = {
+		.sample_rate_hz = 48000, .bit_depth = 16, .module_description = CONFIG_TEXT};
+
+	struct audio_module_template_context context = {0};
+
+	uint8_t test_data_in[TEST_MOD_DATA_SIZE * TEST_AUDIO_DATA_ITEMS_NUM];
+	uint8_t test_data_out[TEST_MOD_DATA_SIZE * TEST_AUDIO_DATA_ITEMS_NUM];
+
+	struct audio_module_handle handle[TEST_MODULES_NUM];
+
+	for (i = 0; i < TEST_MODULES_NUM; i++) {
+
+		memset(&handle[i], 0, sizeof(struct audio_module_handle));
+
+		mod_parameters.description = audio_module_template_description;
+		mod_parameters.thread.stack = mod_temp_stack[i];
+		mod_parameters.thread.stack_size = TEST_MOD_THREAD_STACK_SIZE;
+		mod_parameters.thread.priority = TEST_MOD_THREAD_PRIORITY;
+		mod_parameters.thread.data_slab = &mod_data_slab;
+		mod_parameters.thread.data_size = TEST_MOD_DATA_SIZE;
+		mod_parameters.thread.msg_rx = msg_fifo_rx_array[i];
+		mod_parameters.thread.msg_tx = msg_fifo_tx_array[i];
+
+		ret = audio_module_open(
+			&mod_parameters,
+			(const struct audio_module_configuration *const)&configuration,
+			&inst_name[0], (struct audio_module_context *)&context, &handle[i]);
+		zassert_equal(ret, 0, "Open function did not return successfully (0): ret %d", ret);
+	}
+
+	for (i = 0; i < TEST_MODULES_NUM - 1; i++) {
+		ret = audio_module_connect(&handle[i], &handle[i + 1], false);
+		zassert_equal(ret, 0, "Connect function did not return successfully (0): ret %d",
+			      ret);
+	}
+
+	ret = audio_module_connect(&handle[TEST_MODULES_NUM - 1], NULL, true);
+	zassert_equal(ret, 0, "Connect function did not return successfully (0): ret %d", ret);
+
+	for (i = 0; i < TEST_MODULES_NUM; i++) {
+		ret = audio_module_start(&handle[i]);
+		zassert_equal(ret, 0, "Start function did not return successfully (0): ret %d",
+			      ret);
+	}
+
+	for (i = 0; i < TEST_AUDIO_DATA_ITEMS_NUM; i++) {
+		audio_data_tx.data = (void *)&test_data_in[i * TEST_MOD_DATA_SIZE];
+		audio_data_tx.data_size = TEST_MOD_DATA_SIZE;
+		memcpy(&audio_data_tx.meta, &test_metadata, sizeof(struct audio_metadata));
+
+		audio_data_rx.data = (void *)&test_data_out[i * TEST_MOD_DATA_SIZE];
+		audio_data_rx.data_size = TEST_MOD_DATA_SIZE;
+
+		ret = audio_module_data_tx_rx(&handle[0], &handle[TEST_MODULES_NUM - 1],
+					      &audio_data_tx, &audio_data_rx,
+					      TEST_TX_RX_TIMEOUT_US);
+		zassert_equal(ret, 0, "Data TX-RX function did not return successfully (0): ret %d",
+			      ret);
+		zassert_mem_equal(audio_data_tx.data, audio_data_rx.data, TEST_MOD_DATA_SIZE,
+				  "Failed to process data");
+		zassert_equal(audio_data_tx.data_size, audio_data_rx.data_size,
+			      "Failed to process data, sizes differ");
+		zassert_mem_equal(&audio_data_tx.meta, &audio_data_rx.meta,
+				  sizeof(struct audio_metadata),
+				  "Failed to process data, meta data differs");
+	}
+
+	for (i = 1; i < TEST_MODULES_NUM; i++) {
+		ret = audio_module_stop(&handle[i]);
+		zassert_equal(ret, 0, "Stop function did not return successfully (0): ret %d", ret);
+
+		ret = audio_module_close(&handle[i]);
+		zassert_equal(ret, 0, "Close function did not return successfully (0): ret %d",
+			      ret);
+	}
+}
diff --git a/tests/subsys/audio/audio_module_template/testcase.yaml b/tests/subsys/audio/audio_module_template/testcase.yaml
new file mode 100644
index 000000000000..8d324ee243e4
--- /dev/null
+++ b/tests/subsys/audio/audio_module_template/testcase.yaml
@@ -0,0 +1,7 @@
+tests:
+  nrf5340_audio.audio_module_template:
+    sysbuild: true
+    platform_allow: qemu_cortex_m3
+    integration_platforms:
+      - qemu_cortex_m3
+    tags: audio_module audio_module_template nrf5340_audio_unit_tests sysbuild ci_tests_subsys_audio_module
diff --git a/tests/subsys/audio_module/src/audio_module_test_common.c b/tests/subsys/audio_module/src/audio_module_test_common.c
index 6c98b50913bd..d2082a294686 100644
--- a/tests/subsys/audio_module/src/audio_module_test_common.c
+++ b/tests/subsys/audio_module/src/audio_module_test_common.c
@@ -105,6 +105,7 @@ int test_data_process_function(struct audio_module_handle_private *handle,
 		audio_data_tx->data_size = audio_data_rx->data_size;
 	} else {
 		printk("The input and output data pointers are NULL");
+		return -1;
 	}
 
 	return 0;