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We developed a novel vehicle positioning method using the existing infrared beacon infrastructure that has been spreading on Japanese roadways. This method can realize measurement accuracy of 50 cm whenever the vehicle passes under an infrared beacon roadside unit. GPS is now a popular means of providing vehicle-positioning systems. When applying GPS to more critical purposes, however, it generally lacks the necessary accuracy and reliability. To solve these problems, we have proposed a new vehicle positioning method using the existing infrared beacon infrastructure. This method is based on the principle of precisely locating optical source of the infrared-rays being received. Moreover, the infrared beacon infrastructure is designed for short-range communication, and thus offers high reliability. It is also easier to estimate the direction of the source of infrared-rays than radio waves since infrared-rays travel in a straight line. Many advanced ITS services and solutions are expected by utilizing this method.