Smart Cities: Building Inclusive, Sustainable, and Technologically Advanced Urban Centers

The Vision for People-Centered Smart Cities

In a world increasingly driven by technological innovation, the concept of smart cities has emerged as a critical framework for urban development. However, the focus must remain on people, not just technology. Malaysia’s Prime Minister Datuk Seri Anwar Ibrahim emphasized this during his opening address at the Smart City Expo Kuala Lumpur (SCEKL) 2025. He highlighted that the challenge lies in creating culturally vibrant urban centers where technology elevates living standards while ensuring equitable access to digital resources.

“Despite the pressures of an ever-changing landscape, we must hold steadfast with thoughts of inclusivity and sustainability,” he stated. “We must decisively shape cities around people and address their concerns.”

This sentiment resonated throughout the event, which attracted over 10,000 participants and 2,000 delegates from around the world. Themed AI Cities: Shaping Our Digital Future, the three-day expo focused on how cities can leverage artificial intelligence (AI), sustainable practices, and digital entrepreneurship to build resilient and inclusive communities.

Smart Cities Beyond Mega-Cities

One of the key themes of SCEKL was the strategic vision for ASEAN-wide alignment toward AI-powered cities. While many discussions centered on major metropolitan areas, the event also highlighted the potential of medium-sized cities like Iligan in the Philippines and Nakhon Si Thammarat in Thailand to become models of smart city development.

Iligan’s City Administrator, Darwin Manubag, shared insights into how his city embarked on a digital transformation three years ago. Initially, the process faced challenges due to a lack of understanding among leaders about the purpose and application of digital tools for urban development. However, through consultation, collaboration, and the establishment of a five-division Digital Transformation Office, the city was able to foster a culture of innovation.

Manubag emphasized the importance of a people-centric approach, stating, “You need to ensure that the idea of AI for humanity is embedded into what you’re doing.” This philosophy led to the creation of a Smart Cities Council comprising government, industry, and academic representatives, enabling collaborative decision-making.

Similarly, Nakhon Si Thammarat in southern Thailand adopted a citizen-focused strategy. Mayor Kanop Ketchart introduced a mobile platform allowing residents to report urban issues via photos and digital forms. The city committed to resolving problems within 48 hours, leading to the resolution of over 36,000 complaints and the creation of heat maps for more efficient planning.

Living Labs and Community Engagement

The panel Living Labs of ASEAN: Future Citizen Use Cases You Can Adopt Today explored how real-world environments can be used to test and implement solutions for urban challenges. A living lab involves multiple stakeholders collaborating to create feasible and impactful ideas.

Urbanice Malaysia’s CEO, Norliza Hashim, moderated a session where participants imagined a plan for a small city with limited budgets. John Vincent Gastanes, Project Manager of Narra in the Philippines, stressed the importance of community engagement. “Going to the relevant community was the first and most important step,” he said. By identifying local strengths and using limited funds strategically, cities could attract external partners and scale up projects.

Amazon Web Services’ (AWS) Smart Cities Leader, Sapan Kumar, echoed this sentiment, emphasizing that funding should target projects that provide tangible benefits to communities. He advocated for “ruthless prioritization” of pressing problems and leveraging initiatives like AWS’ Proof-of-Concept Credits to scale successful solutions.

Strategic Innovation for Regional Growth

While technology and data are essential tools for smart city development, they are not the end goal. At the Cross-border Data, Local Impact: ASEAN’s Advantage in AI Innovation panel, speakers discussed the importance of harmonized standards and policies to enable cross-border data sharing. Malaysia’s National AI Office (NAIO) CEO, Sam Majid, noted that aligning national standards allows cities to share data more effectively, leading to better-informed decisions.

For instance, a disaster management solution developed in the Philippines could inform similar efforts in natural disaster-prone areas of Thailand. This underscores the importance of interoperable systems and the exchange of best practices across regions.

Atlanta: Leading the U.S. Smart City Movement

While much of the global conversation on smart cities focuses on international events, the United States is also making significant strides. Atlanta, Georgia, recently topped ProptechOS’ 2025 Smart City Index, beating out coastal tech hubs like San Jose and Boston. The ranking considers metrics such as tech infrastructure, connectivity, sustainability, and the tech job market.

Atlanta scored 88 out of 100 for tech infrastructure and 82 for its tech job market, with 643 tech jobs per 10,000 people. The city also boasts the fourth-highest internet speeds among major U.S. cities and a high concentration of IoT and AI companies.

Atlanta’s commitment to smart city development dates back to 2015 when it joined the White House’s Smart Cities Initiative. Partnerships with institutions like the Georgia Institute of Technology have led to projects like the North Avenue Smart Corridor, recognized as a “living lab” for traffic management and data analytics.

Challenges and Considerations in Smart City Development

Despite the promise of smart cities, several challenges must be addressed. Data privacy remains a top concern, as citizens need transparency about how their information is collected, stored, and used. Cities must educate residents on the benefits of data-driven services while ensuring ethical practices.

Managing large datasets is another hurdle. Municipalities must integrate data from various sources—agencies, utilities, vendors, and residents—and store it securely. Cybersecurity is also a critical issue, especially with the collection of personally identifiable information. Robust encryption, decentralized storage, and technologies like blockchain can help mitigate these risks.

Additionally, the digital divide persists, with many underserved communities lacking internet access. Smart cities must prioritize inclusive connectivity, such as installing WiFi kiosks or utilizing multi-use towers equipped with smart lights and AI-enabled cameras.

Regulations also play a vital role in building trust. The Smart Cities and Communities Act of 2021 and guidelines from the Cybersecurity and Infrastructure Security Agency (CISA) aim to protect citizens and ensure responsible implementation of smart city initiatives.

Conclusion

Smart cities are not just about technology—they are about people, inclusivity, and sustainability. From the innovative approaches of cities like Iligan and Nakhon Si Thammarat to the leadership of Atlanta in the U.S., the global movement toward smart urban development is gaining momentum. As cities continue to evolve, the focus must remain on creating environments where technology enhances quality of life, fosters collaboration, and ensures equitable access for all.