Inter-vehicular communication is an important research area that is rapidly growing due to considerable advances in mobile and wireless communication technologies, as well as the growth of microprocessing capabilities inside today's cars, and other moving vehicles. A good amount of research has been done to exploit the different services that can be provided to enhance the safety and comfort of the driver. Additional functions provide the car electronics and the passengers with access to the Internet and other core network resources. This paper provides a survey of the latest advances in the area of inter-vehicular communication (IVC) including vehicle-to-vehicle (V2V) and vehicle-to-infrastructure (V2I) functions and services. In addition, the paper presents the most important projects and protocols that are involved in IVC systems as well as the different issues and challenges that exist at each layer of the networking model.