Cities around the world are rapidly adopting artificial intelligence (AI) to increase productivity, optimize services, and strengthen their economies, according to a global study conducted by ServiceNow and Deloitte, in partnership with ThoughtLab, a leading research company on technological trends. The research revealed that 56% of cities already use AI to improve government management and public services, while 83% plan to adopt this technology in the next three years. The study also shows the acceleration in the use of generative AI (GenAI), with 87% of cities already planning, testing, or implementing this technology to generate content and analyses. Currently, 18% of cities use generative AI, but this number will triple to 59% in the next three years.
The study, entitled“AI-Powered Cities of the Future”analyzed the plans, investments, and practices of a diverse set of cities in 78 countries, taking into account different income levels and population sizes, ranging from 50,000 to over 37.1 million inhabitants. The results indicate that artificial intelligence is already being applied in various urban areas
- 65%of cities are testing or using AI to optimize government operations;
- 64%to improve public transport;
- 62%to monitor and respond to urban risks;
- 60%to manage urban infrastructure more efficiently;
- 60%to promote sustainability;
- 57%to improve the quality of life of the population.
Cities that have already implemented artificial intelligence report several benefits, such as economic growth, risk reduction, cost efficiency and greater public engagement, as well as improvements in public health and safety.
The Path to AI Leadership
To identify the leading cities in AI usage, ThoughtLab created a maturity model that assesses levels of technology adoption, digital foundations, and control mechanisms. The leading cities are better prepared to face urban challenges, are more resilient, and are well-positioned for the future. These cities achieved leadership by following eight essential steps
- Strategic commitment: develop a clear vision of how AI can transform their economy and infrastructure, ensuring adequate budgeting.
- Solid data and IT foundation: integrate data from different urban sources on secure cloud platforms, with automated and scalable processes.
- Talent training and management: invest in training qualified professionals to lead AI initiatives, with 59% of leading cities having a head of AI.
- Fostering innovation: collaborate with private companies, public sectors and non-profit organizations to share expertise and access to data and talent.
- AI Scale and GenAI: rapidly expand the use of these technologies in all areas of urban management.
- Integration with other technologies: combine AI with cloud computing, biometrics, cybersecurity, IoT and data analytics to maximize results.
- Data security: use advanced systems to mitigate cyber risks, such as automated monitoring and data loss prevention tools.
- Responsible use of AI: establish guidelines for AI governance, protection of personal data and identification of algorithmic biases.
Brazilian cities lead AI adoption in Latin America
Brazil is emerging as a leader in artificial intelligence adoption across Latin America, with São Paulo, Curitiba, and Niterói ranked as AI leaders, while Belo Horizonte, Aracaju, Porto Alegre, Recife, and Vila Velha are advancing in AI initiatives. These cities are integrating AI into government operations, mobility, public safety, health, and sustainability to improve urban life and efficiency.
- São Paulois one of the top 10 cities leading the adoption of AI through fraud detection, using artificial intelligence to identify fake claims and misuse of public funds in government services.
- Curitibais driving environmental sustainability through climate modeling and forecasting, leveraging AI to support urban resilience.
- Niteroiis improving public health services by using AI to analyze disease trends and improve the allocation of medical resources.
- Belo Horizonteis leveraging AI for mobility and transportation, especially in traffic management and public transportation optimization.
- Aracajuapplies AI to safety and security through video monitoring, crime prediction, emergency response, and to identify and mitigate cyberattacks on critical city infrastructure.
Brazilian cities are advancing in urban infrastructure, waste management driven by AI, and cybersecurity, positioning the country as an important player in AI-driven urban transformation. As these initiatives expand, Brazil is establishing a benchmark for the adoption of artificial intelligence across Latin America.
The study identified the main leading cities in each region:
- Latin America: Curitiba, Mexico City, Niterói, Sao Paulo.
- North America: Boston, Chicago, Nova York, San Antonio, Seattle, Toronto.
- Europe: Amsterdam, Berlin, Bratislava, Ljubljana, Madrid, Marseille, Paris, Stockholm, Vienna.
- Asia-Pacific: Beijing, Guangzhou, Hong Kong, Lucknow, Melbourne, Seoul, Taipei, Tokyo.
- Middle East and Africa: Dammam, Harare, Istanbul, Kuwait City.
