A power divider system with governed speed control wherein a first power path and a second power path are formed by a differential-like power divider. A control system associated with the two power paths senses and controls the speed relationship thereof. The speed of an output element of the second power path is determined and then governed to a predetermined value by modulated transfer of power from the second power path to the first power path. The speed of an output element of the first power path is limited relative to the output element of the second power path by the transfer of power from the first power path to the second power path through a one-way drive system. A power transfer mechanism for governing the second power path to the predetermined speed provides fail-safe operation.