This paper discussed the traffic information collection by public vehicle GPS technology. The general mathematical model and estimation method for road section travel time and average speed in urban area are given firstly. Then a new algorithms to get more precise traffic information is proposed. This method constructed a vehicles travel equation to estimate the travel time, the average speed based on least squares. Finally, combined with Shanghai public bus surveillance system, the bus 824 route is selected as a case for research, and the effect is showed in the experimentation.
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