High torque and power density are unique merits of transverse flux machines (TFMs). TFMs are particularly suitable for use in direct-drive systems, that is, those power systems with no gearbox between the electric machine and the prime mover or load. Variable speed wind turbines and in-wheel traction seem to be great-potential applications for TFMs. Nevertheless, the cogging torque, efficiency, power factor and manufacturing of TFMs should still be improved. In this paper, a comprehensive review of TFMs topologies and design is made, dealing with TFM applications, topologies, operation, design and modeling.