Described is a technology by which raw GPS data is processed into segments of a trip, with a predicted mode of transportation (e.g., walking, car, bus, bicycling) determined for each segment. The determined transportation modes may be used to tag the GPS data with transportation mode information, and/or dynamically used. Segments are first characterized as walk segments or non-walk segments based on velocity and/or acceleration. Features corresponding to each of those walk segments or non-walk segments are extracted, and analyzed with an inference model to determine probabilities for the possible modes of transportation for each segment. Post-processing may be used to modify the probabilities based on transitioning considerations with respect to the transportation mode of an adjacent segment. The most probable transportation mode for each segment is selected.