Hydrostatic transmission and method of operation

A hydrostatic transmission which utilizes a combination of a multiple planetary gear pump and a multiple planetary gear motor encased within one compact unit sealed so as to direct passage of hydraulic fluid between the combination thereof. The hydrostatic transmission comprises a power component provided with a plurality of planetary gears that can provide power to at least one load delivered by at least one of the plurality of planetary gears. The power component is configured with an integrated oil-switching mechanism that controls the rotational speed delivered to the load. The hydrostatic transmission is provided in one compact, sealed casing suitable for use in vehicles, having an output shaft optionally mechanically connected directly to the wheels of a vehicle drive. The inventive hydrostatic transmission operates without the need for lengthy pressure hoses and related connectors and fittings for cycling hydraulic fluid along needed flow paths.