Smart city initiatives are underway across the country. But they face funding and technology challenges. Many cities want to upgrade infrastructure to improve resident experience, safety and to generate revenue.
But modernization can be too costly without help from private companies.
Only about 16% of cities can self-fund their infrastructure projects. That prompts some to join forces with private companies to fund infrastructure projects such as smart streetlights, internet connectivity initiatives and smart parking meters. As a recent McKinsey report noted, public-private partnerships often involve distinct roles for both entities: cities are cast with the role of implementer, while private companies serve as investor.