ABSTRACT Vehicular Ad hoc Network (VANET) is a promising subclass of Ad hoc Network which is showing huge potential in today’s systems. The key difference between Mobile Ad-hoc Network (MANET) and VANET is the special mobility pattern and rapidly changing topology. The survey of Mobility Prediction and Routing Protocols in VANET is important, because of constantly and rapidly changing topology. Thus main issues in VANET are mobility prediction and routing, to support the smart Intelligent Transportation System (ITS). In this paper we discuss the basic concept of VANET and importance of mobility prediction and routing protocols in VANET. Also we survey different routing protocols in existence. Finally the paper concludes with the applications and issues of VANET.