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The paper deals with the impact of telecommunications and information technology on the operation of transport systems in general. The interaction and cooperation of telecommunications with information technology and computers, is better known in Europe by the term ‘telematics’. The paper systematically examines the current applications of telematics in the operation and control of vehicles and traffic, and customer information and demand management. All modes of transport are examined but the main emphasis is on road and rail. The discussion combines the actual applications as well as their main results to date, with some critical appraisal of the success so far, and the prospects for future improvements. Then possible future developments in this field are discussed for road and rail, both passenger and freight. The outlook is not always bright and the problems and difficulties encountered are considered. The overall conclusion is that telematics in the field of transport operation has been applied for some time now, with mixed results. We are currently in a transitional phase where a lot can be done to take advantage of some truly exceptional opportunities that have opened up, but also a lot can be lost if the difficulties and problems involved are not faced in a proper and integrated way by all the ‘actors’ involved. Appendix 1 of the paper gives a brief review of the current initiatives by individual country, the industry, and the international organizations to provide greater use of telematics in transport operation in the future.
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