The Business Models and Information Architectures of Smart Cities

Abstract In the Netherlands, there are two ways cities acquire the smart city status: one way has business models preceding information architecture and the other takes an opposite direction. We used two cities to examine the underlying differences of these two approaches in terms of service enhancement, resource implications, and the sustainability of service development. The first case focused on creating business value through the use of technology by enhancing existing services and/or bringing new services whereas the second case started with creating an infrastructure that served as a technology platform to induce changes in business practices. We found that the first case accumulated business value faster with more new services made available to the public. In contrast, the second case was more resource-intensive and relatively slower in bringing new services to the general public, yet the services were much improved and sustainable over time.