Potsdam, city in northeastern Germany, capital of the state of Brandenburg after the German unification in 1990 (formerly the capital of Potsdam District, East Germany). Potsdam is located on the Havel River, near Berlin. Among the manufactures are locomotives, textiles, and pharmaceuticals; motion pictures are produced in the suburb of Babelsberg. Industrial air pollution is a problem in Potsdam. The Brandenburg Gate (1770) and several palaces, including Sans Souci Palace (1745-1747) and the New Palace (1763-1769), both built by Frederick II, are among the architectural features of the city. It is also the site of the College of Film and Television (1954), the Institute for International Relations and Legal Studies (1948), and a history museum. The city was badly damaged by bombing in World War II (1939-1945) and rebuilt only recently; in 1945 it was the site of the Potsdam Conference. Population (1997) 138,268.