Machina Research

Best practices from 22 smart cities

Jeremy Green (Machina Research) and Marc Jadoul (Nokia)

November 2016

Agenda

About the research

Key findings
Three routes to a mature smart city
The data table

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About the research

Sponsored by Nokia to illustrate the experience and learnings from
a number of cities at different stages on the smart city journey

Carried out by Machina Research, a specialist analyst and

consulting company focused on IoT
Focused on those aspects of smart cities that are most closely
aligned to the IoT.
22 cities of varying sizes, geographies and levels of progress in
terms of smartness so as to investigate the key parameters and
lessons involved in becoming smart.
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The cities in the research

Auckland
Bangkok
Barcelona
Berlin
Bogota
Bristol
Cape Town

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Cleveland
Delhi
Dubai
Jeddah
Mexico City
New York City
Paris

Pune
San Francisco
So Paulo
Shanghai
Singapore
Tokyo
Vienna
Wuxi

Why cities need to become smart

Demographic pressures
Environmental pressures
Fragility - vulnerability to shocks and stresses
Financial pressures and a need to do more with less
Economic pressures - increased competition between cities
within and across regions

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Technology and business enablers

More and better connectivity options
A new role for the public sector in driving, supporting and financing communications
infrastructure.
New tools and paradigms for ingesting, managing, storing and analyzing data, including
cloud architectures and machine learning
Open data models in the public sector
The Living Labs paradigm for research and development
Smartphones as a near-ubiquitous sensing and user interface device
Platform-as-a-Service (PaaS) and Software-as-a-service (SaaS)
Open source software and open APIs as a counter to proprietary lock-in
New financing and funding paradigms, especially Public-Private Partnerships (PPP) and
vendor financing

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Key messages
1. Data matters. So does sharing it, on the right terms. Cities need to put in
place rules, to make sure that they get the most benefit from data assets.
2. Coordination of smart initiatives across different departments doesnt just
happen. Getting it right requires forethought and leadership.
3. Ultimately its the citizens that are paying for the smart city. Vendors and
city authorities need to engage them make the benefits visible.
4. Procurement departments need to be better educated. This will enable
them to evaluate bids more effectively and allow for new kinds of
relationship
5. The best project structures enable cities to work closely with ICT vendors
without getting locked into proprietary ecosystems
6. Smart city solutions can help to revive declining cities or districts, and this
can build support and mobilize resources for projects
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A mature smart city

Municipality

Citizens

Open data
portal
Applications
Smart City
Infrastructure

NGOs

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Businesses

A mature smart city enables

individual citizens, businesses, NGOs
and the municipality itself (including
its business processes and its IT
systems, and sensors attached to its
physical assets) to:
Contribute data
Extract data
Create and make use of
applications (including automated
controls) based on that data.
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Three routes: Anchor, Platform, Beta

Anchor City
Adds working applications in
series
A clear and pressing need for
one application
Others are added as
priorities dictate

Platform City
Focuses on deploying
infrastructure first
Several applications can be
delivered later

Beta City
Experiments with multiple
applications without a
finalised plan for how to
bring pilots to full
deployment

Accepts that currently

available technologies and
business models are
provisional
Prioritises hands-on
experience over shortterm/medium-term tangible
benefits.

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No single path to smartness for cities

We do not believe that one of these three routes is the right answer.
o

Each has something to recommend it, and which one fits best will depend on the citys
resources, issues, and priorities.

A beta approach may deliver more visible easy wins quickly.

An anchor approach might be absolutely determined by a single issue, such as preparations

for earthquakes, which dwarfs all others.

Few cities are pursuing an absolutely pure form of one of these routes.
o

Most have something of more than one route;

Either they are hedging their bets, or are in the process of shifting from one route to another.

Several are at such an early stage that they have not yet settled down into one route or
another.

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Which route is best for your city?

Anchor City

Platform City

Beta City

Short path to deployment

Concrete gains and easy to
evaluate ROI
Use case driven

Synergies between applications

are possible
Smooth path to integration
Future flexibility
Can engage third parties via APIs
and open data
Capabilities and performance by
design

Engagement with citizens and

politicians
Access to funding for trials and
research
Easy involvement of start-ups and
small innovative companies
Opportunity to use many tools
including consumer-grade
internet applications (e.g. Twitter,
WeChat)

Future integration can be hard

Absence of synergies between
applications

Absence of mature standards can

make specification and choice
hard
Risk of lock-in
Upfront investment without initial
RoI from applications

Hard to go beyond pilot and

achieve operational deployment
Diffusion of focus

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Applications: Smart, Safe, Sustainable

Smart Living

Smart Safety

Smart Sustainability

IoT applications to improve the

quality of life for citizens and
stimulate economic
development, making cities
more attractive places to live.

IoT applications to
prevent/minimize adverse
events including crime,
accidents, environmental
pollution and natural disasters.

IoT applications to reduce the

environmental impact of the
citys own operations and those
of businesses and citizens. who
live there.

Connected signage
City applications to support
tourism and culture
Event notification
Public WiFi
Connected street furniture

Smart care/assisted living

CCTV and Smart CCTV
Incident detection Crowd
monitoring
Adaptive lighting
Environmental monitoring
Emergency alerts
Disease surveillance

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Energy management
Transport
Smart parking
Traffic management
Bicycle sharing
Smart lighting
Public space water management
Waste management

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The cities compared

Download the report

nokia.ly/smartcityplaybook

smart
safe
sustainable

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Our vision is to expand

the human possibilities
of the connected world
We continue to reimagine how technology blends into our everyday lives,
working for us, discreetly yet magically in the background

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2016 Nokia

Why did Nokia commission this Smart Cities Playbook?

Ubiquitous connectivity, IoT technologies, and smart services have become
focal points of the discussion and planning around smart cities

Smarter infrastructure and applications only make a difference when they enrich
peoples lives; and respond to cities and citizens real needs
Cut through the clutter, and understand cities real challenges and strategies

Identify best practices, leading to a pragmatic set of recommendations

Provide concrete guidance to city leaders and stakeholders, to make their
municipalities smarter, safer and greener

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2016 Nokia

What does it take to become a smart city?

Advanced applications to ensure the
best use of urban assets and data to
create a smart, safe and sustainable
environment
This requires shareable, secure and
scalable connectivity and platform
infrastructure that combines
everything from the network to the
devices, the applications, and the data
An open ecosystem, standardsbased solutions and a continuous
dialog with/ between city leaders,
stakeholders, and citizens.
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2016 Nokia

Network and platform infrastructure can make or break a smart city

Shared

Wireless and wireline broadband access and IoT connectivity

Applications and data over a single IP/optical network
A horizontal city platform, with a common set of capabilities
Real time access to applications, anytime and everywhere

Secure
Endpoint and data protection
Device management, authentication and authorization
Traffic profiling and encryption

Scalable

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2016 Nokia

Fast take-up of sensor devices and applications

Massive growth in network traffic, data, and analytics
Huge variety in applications and traffic profiles
Critical applications need low latency and edge computing

What are the building blocks? Nokias layered value proposition

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2016 Nokia

Nokias smart city engagement is built upon open collaboration

We work with independent and recognized analysts to identify best practices,
and provide concrete guidance to city leaders and stakeholders

We partner with 300 companies, members of our ng Connect ecosystem,

to bring innovative services to governments, citizens and businesses
We participate to standardization initiatives to collectively define the best
technology and architectures to realize the smart city vision
We deliver a shared, secure and scalable foundation to support smart city
applications, now and for the future
We help create smart anchor, platform and beta cities around the world

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2016 Nokia

Thank you!
Lets collectively develop smart, safe and sustainable cities

Download

the Smart City Playbook

http://nokia.ly/smartcityplaybook

Connect with us

marc.jadoul@nokia.com

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2016 Nokia

Learn more about

Nokia Smart City at

http://nokia.ly/smartcity

jeremy.green@machinaresearch.com