By Steve Gorski
Since the early 20th century, urban planners and others have advocated the concept of “smart cities,” referring to several key objectives aimed at improving the quality of life for citizens: reduced congestion and enhanced mobility, better energy management, more resilient and adaptive infrastructure, more efficient public services, and greater citizen engagement.
However, it wasn’t until the 1990s, with the large-scale adoption of the internet, that cities and urban planners were able to truly begin implementing smart city development strategies. The deployment of digital infrastructure and online services led to the emergence of the "digital city." The 2010s marked another turning point with the rise of the Internet of Things (IoT), meaning devices, appliances, and the like that are connected to the internet. IoT sensors embedded in infrastructure and everyday objects enabled cities to gather real-time data on traffic flow, air quality, energy usage, and more, elevating smart city development to new heights.
Thanks to continued technological developments since then, the smart city concept is now more attainable than ever, and parking technology is leading the way.
The role of technology in smart cities
Technology is the key enabler of smart city development, facilitating real-time data collection, processing, and analysis to drive efficient urban system management. The most important smart city technologies include:
- parking guidance systems that direct drivers to available parking spaces, reducing congestion and emissions caused by unnecessary searching
- parking and revenue control systems that automate parking management, integrating payment, access control, and occupancy tracking
- intelligent traffic systems that utilize real-time data and algorithms to optimize traffic flow, enhance safety, and reduce travel times
- parking pre-booking that enables drivers to reserve parking spaces in advance, streamlining city logistics and improving the user experience
- artificial intelligence (AI) for predictive wayfinding that combines AI with real-time data to guide drivers to optimal routes and parking spots, reducing delays, and enhancing urban mobility
However, hardware is just part of the equation. To create seamless smart cities, open interfaces and interoperability are crucial.
First comes open standards. Adopting open standards ensures seamless communication and data exchange among various systems and devices. Open standards make interconnected systems possible, enabling cities to integrate diverse technologies into a cohesive network, facilitating real-time data sharing and collaboration.
Vendor collaboration also is crucial. Encouraging collaboration among technology vendors and service providers helps create interoperable solutions that fit within existing urban infrastructure, solutions that aren’t limited by the capabilities of any single technology provider.
Information is power, and the technologies that combine to form smart city networks play a vital role by monitoring traffic flow and parking utilization and then managing traffic patterns and flows to reduce congestion. For instance, smart traffic management technology uses adaptive traffic signals and real-time monitoring to adjust signal timings based on traffic conditions. Or traffic signal coordination can be modified to keep traffic moving smoothly. Or real-time traffic information systems can adjust GPS-provided directions to lead drivers to less congested roads.
Finally, smart parking solutions play an essential role as well. Sensor-based parking availability detection and mobile payment options make the parking experience much more pleasant, efficient, and safe, while at the same time enhancing parking management.

The role of smart parking in smart cities
In fact, parking plays an outsized role in managing urban congestion and reducing emissions. Implementing smart parking solutions can reduce traffic congestion by up to 30% by minimizing the time drivers spend searching for parking. This reduction in search times leads to lower vehicle emissions when cars aren’t circling neighborhoods looking for parking or driving up and down aisles in parking lots and garages looking for an elusive space. These smart parking tools also enhance safety because helping drivers find parking quickly and directly reduces the risk of accidents or collisions involving vehicles and pedestrians.
Smart parking systems also provide financial benefits. For instance, by guiding drivers to available spaces, parking guidance systems reduce the chance that drivers will give up on finding a parking space, thus minimizing the likelihood of spaces going unused. Optimized space utilization in this way maximizes revenue. Smart parking systems also enable dynamic pricing, and demand-based pricing increases revenue during peak hours.
These tools also reduce operational costs as automated systems minimize the need for manual monitoring and enforcement. Reduced costs, combined with additional revenue generation, result in a much stronger bottom line. Finally, efficient parking solutions increase properties’ attractiveness, leading to more business for building owners and higher tax revenues for cities.
The future of smart parking technology
The future of smart parking technology is already here. AI-driven parking management is revolutionizing urban mobility. For instance, AI modules can predict parking occupancy using historical and real-time data. Cities, campuses, and even private parking owners with predictive wayfinding tools can direct drivers to locations where parking is most likely to be available when they arrive.
From the perspective of parking owners and operators, AI-driven quota management tools can help operators manage parking space quotas effectively. At the same time, AI-enabled parking management tools can also provide smarter space allocation and utilization.
Moving forward, the evolution of smart cities will be driven by the following emerging technologies:
- AI-driven predictive analytics that anticipate transportation issues and optimize infrastructure with minimal human intervention
- 5G and edge computing that enable real-time data processing for faster traffic management and decision-making
- digital twin technology that creates virtual city replicas to test and optimize infrastructure changes before implementation
- net-zero cities and environmental resilience that focus on renewable energy, smart grids, and energy-efficient buildings
- mobility-as-a-service, which integrates parking, public transit, ridesharing, bike rentals, and autonomous vehicles into unified platforms
- smart sensors that monitor vehicle movements, pedestrian activity, and environmental conditions for efficient urban operations
- connected and autonomous vehicles that improve traffic flow and safety by integrating with smart traffic and parking systems
- dynamic pricing models that adjust parking fees based on real-time demand to optimize usage
- green mobility integration that expands electric vehicle infrastructure and promotes bike-sharing for sustainable urban transportation
The smart city future that municipal leaders and urban planners have dreamed of for decades is finally here. By leveraging advanced technologies and data-driven solutions, cities can enhance mobility, reduce congestion, and promote sustainability. As AI, IoT, and cloud computing continue to evolve, truly intelligent urban spaces will progress even further. The integration of smart parking systems, dynamic pricing models, and predictive analytics will further streamline urban life, ensuring that cities remain efficient, resilient, and future-ready.
Steve Gorski is vice president of Portier USA. He can be reached at steve.gorski@portierusa.com.