Risks of the Smart City Concept

The concept of smart city is one of the most popular directions of urban development nowadays. The use of modern information and communication technologies in the urban environment improves the comfort of life, the efficiency of urban space management, leads to sustainable development and rational consumption of resources. However, like other approaches, there are risks associated with the accelerated and large-scale introduction of modern technologies and the unpreparedness of society to accept them. Digitalization should not the aim, government should use an integrated approach. This work is devoted to the study of the risks of introducing the concept of a smart city. There are technological risks (absence or imperfection of domestic technological solutions in this area, cybersecurity threats: risks of system instability and data leaks), economic (low efficiency of implemented innovations, growing digital divide), managerial (technical and psychological unpreparedness of the authorities, loss of urban authenticity ), institutional (legislation behind the practice of applying modern technologies, the presence of a conflict of interest between public and private commercial interests), related to human capital (unpreparedness of the population to use technology, the risk of a technocratic approach to the implementation of the concept) and environmental risks. Although the literature has given more attention to the technological risks of a smart city, other risks (like economic, managerial, etc.) are also important. These risks are closely related and have a significant impact on the process of digital transformation of the urban environment, which may slow it down or reduce its effectiveness. Therefore, it is necessary to take them into account when planning the implementation and development of a smart city.