The Evolution of Smart Cities

This is the second part of our Smart Cities deep-dive.
You can read the first part here.

Smart Cities are becoming the “norm”, with a focus on technology-driven infrastructure, sustainability, and making our cities more efficient and livable. The Smart City concept was initially coined in 1999 by Arun Mahizhnan to refer to the use of ICT to enhance urban life but has since evolved to include a broader range of technologies and strategies aimed at making cities more efficient, sustainable, and livable. Smart City projects began as research projects within academic institutions or with research-driven objectives, but now Smart Cities are fast becoming city-level projects aimed at converting existing infrastructure into smart infrastructure.

Smart City projects have been in the spotlight for quite some time now, with a range of outcomes being observed across the globe. While some projects have been successful in implementing smart solutions, others have faced significant challenges. Google Sidewalk Labs’ attempts to develop a smart neighborhood in Toronto and Songdo IBD Smart City in South Korea are among the most well-known smart city projects. While Google Sidewalk Labs faced concerns about data privacy and public land usage, Songdo IBD Smart City received praise for its advanced technology infrastructure.

On the other hand, Smart Dubai and Smart Nation Singapore are two examples of large-scale Smart City projects that have made considerable progress in implementing smart solutions. Smart Dubai has set its sights on transforming the city into the “happiest and smartest city in the world”, with a range of initiatives such as smart mobility, smart living, and smart governance. Similarly, Smart Nation Singapore has implemented smart solutions in various areas such as transportation, energy, and public services, with the aim of improving the quality of life for its citizens.

As the development of Smart City projects progresses, a clear distinction can be made between greenfield and brownfield projects. While greenfield projects involve new construction, brownfield projects are focused on reconstruction and redevelopment. Over time, there has been an increase in the number of brownfield Smart City development initiatives, indicating the maturity of the concept of Smart City globally and early signs of market acceptance leading to a faster transition from concept to development.

Smart City projects initially began as small community development projects, mostly as research projects aligned with academic institutions. However, the first major developer-led effort was the Songdo IBD project, built on an area of 1,500 acres, which attracted real buyers attempting to purchase buildings within this Smart City at market prices. Despite being a city-level project, Songdo IBD was a greenfield development where the entire project was planned and developed from scratch. Similarly, Masdar City was entirely a greenfield development built as a Smart City from the ground up.

The Amsterdam Smart City project was the first project where city and state governments started thinking long-term and realized that if Smart City development was to continue, it could not just be a new project, but must consider making existing city projects smarter. In 2014, Amsterdam Smart City appointed a Chief Technical Officer, Ger Baron, to drive collaboration between public and private institutions, a landmark decision in its own right that has ensured the continuous development of Amsterdam as a Smart City.

Several global cities have launched programs since then to convert existing infrastructure into smart infrastructure, following Amsterdam’s lead. Numerous indexes such as the IMD-SUTD Smart City Index, AT Kearney Global Cities Index, IESE Cities in Motion Index, EasyPark Cities of the Future Index, Mori-Foundation Global Power City Index, and Smart EcoCity Index have been launched to grade the progress made by cities and generate a sense of competitiveness to boost development further.

Looking forward, we can expect even faster progress as Smart Cities continue to evolve. Upcoming Smart City projects such as Toyota Woven City, National Landing, and Telosa City are already incorporating advanced technologies into their design and development. By harnessing the power of artificial intelligence, big data analytics, and the Internet of Things (IoT), smart cities will become even more efficient, sustainable, and resilient.

While the concept of Smart Cities brings with it several advantages, it also has certain challenges, which almost all the Smart Cities projects have faced. In our next blog entry, we will walk through these challenges and what has been learned from them.