AI is the new yardstick for smart cities

smart cities

Sensors, cameras and high-speed networks are no longer enough for a city to be considered smart. What counts now is the ability to turn data and artificial intelligence into services people actually use. That is the takeaway from the first Intelligent Cities Index, released in July 2026 by the consulting firm Boston Consulting Group (BCG).

The study assessed 61 major cities in 39 countries using 35 indicators. London ranked first with 85 points, followed by Dubai, New York, Washington and Amsterdam, all with 80.

The main conclusion is that an ambitious AI plan is not enough. In an interview with Cities Today, Akram Awad, a BCG partner in Dubai and one of the index’s authors, said there is a clear difference between cities that present strong strategies and those that manage to put them into practice. According to him, many projects lose momentum at the execution stage.

For Awad, the way forward is to clearly define who leads each workstream within government, with well-divided responsibilities.

The survey also indicates that cities that place AI at the core of public services improve quality of life faster. The leaders have a broader portfolio of real-world applications and report more satisfied residents.

Dubai, second in the overall ranking, came first worldwide in the adoption of AI and digital solutions, according to the same newspaper. Singapore ranked 11th and Hong Kong 36th, according to Let’s Data Science.

The index also brought surprises. Casablanca, in Morocco, made the global top 10 for AI adoption. In a statement published by Consultancy.uk, Awad said that AI adoption and optimism “are not confined to the ‘usual suspects’ technology hubs.”

The study also describes a virtuous circle: when residents have a good experience with an AI-based service, they come to trust the technology more, which gives city governments room to expand its use.

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