Measurements from a Global Navigation System in conjunction with an Inertial Measurement Unit were recently introduced in different aerial and ground vehicles as an input to control vehicle dynamics. In automobiles this approach could help to further improve braking and / or stability control systems as information like velocity over ground and side slip angle becomes available. This paper presents the technical background, validation through test results and the evaluation of potential benefits of such an “INS/GPS” setup. As a result of the extended measuring capabilities a reduction in braking distance and a more effective stability control becomes possible. The results show an excellent performance that should be exploited in future automotive applications.