Digital Urban Governance in an Era of AI

By Gülşen Doğan, MiReKoc, Koç University, Istanbul

Cities worldwide are rapidly changing due to urban growth and economic shifts. Digital tools are now central to local governance. These technologies improve public service efficiency and foster citizen-government interactions. They promote decentralized control and collaborative policymaking, enhancing civic engagement. Nonetheless, this change prompts critical questions about democracy and ethical technology use by local governments.

Technology is revolutionizing service delivery in cities globally. The “smart city”[i] concept utilizes tools like sensor networks and AI for better infrastructure and services. European cities are increasingly using real-time data and digital platforms to involve residents in policymaking, marking a move towards inclusive governance[ii]. However, these developments raise concerns about privacy, access, and ethical governance. It’s crucial to ensure that efficiency gains from technology do not marginalize vulnerable groups or compromise democratic principles.

Exploring the Development of Intelligent Urban Areas through Case Studies

Turkey’s National Smart Cities Strategy (2020–2023)[iii] exemplifies urban digital modernization. Major cities like Istanbul, Ankara, and Konya are implementing AI traffic management, IoT[iv] water management, and citizen engagement platforms. The “İstanbul Senin”[v] platform shows how digital solutions can enhance urban living standards. Additionally, Turkey’s E-Government Gateway improves access to public services and transparency. However, these advancements also raise concerns about data security and social equity.

New digital platforms promise to enhance citizen engagement with governments. Various countries are using online portals and hybrid forums for direct participation in policy discussions. For instance, Brazil[vi] and France[vii] have adopted digital petitions and virtual town halls for public input on issues. In the U.S.[viii], digital resources are educating citizens for better public participation. Yet, a challenge remains: ensuring these platforms reflect the population’s diversity. Disparities in digital literacy and internet access may worsen existing social inequalities.

One of the main challenges in digital governance is ensuring equal benefits for all citizens. Those with limited technology access, like the elderly and low-income families, risk exclusion. Authorities need to invest in digital education and infrastructure. Estonia’s[ix] user-friendly platforms and access points provide a useful model. In Turkey, free digital literacy programs and broadband expansion efforts are helping underserved areas[x]. Cities can achieve a more inclusive digital transformation by blending online and offline strategies.

While AI can improve government efficiency, it raises ethical issues. Data privacy, algorithmic biases, and accountability concerns are significant. In the Netherlands[xi], AI reliance in welfare fraud detection led to discriminatory outcomes and regulatory changes. Turkey has faced similar problems with facial recognition and predictive analytics in security. Ensuring AI transparency and strict oversight is essential to address these issues.

Modern governments must balance technological growth with democratic oversight. Too much regulation can hinder innovation, while too little can threaten citizens’ rights. Promoting transparent algorithms and involving diverse stakeholders may offer a balanced solution. Canada’s[xii] Algorithmic Impact Assessment tool exemplifies careful evaluation of AI’s public sector impacts, ensuring accountability alongside technological advancement.

Another complication is the differing capacity of cities to implement digital solutions. Wealthy cities like Barcelona and Singapore set high standards, while smaller municipalities struggle with infrastructure and funding[xiii]. A modular, open-source approach using mobile technology can help these cities progress. For instance, Kenya’s “Huduma” centers[xiv] mix digital and in-person services to reach a broader audience. This approach highlights the importance of tailoring digital governance to local needs instead of imposing costly universal models.

Institutional inertia is another hurdle to digital governance. Traditional bureaucracies often resist rapid tech changes due to job security fears, cybersecurity concerns, and lack of technical skills. In Türkiye, the gradual rollout of the E-Government Gateway alongside employee training shows how a careful approach can aid transition[xv]. By demonstrating the benefits of digital transformation through pilot projects and gradual integration, governments can reduce skepticism and build trust in new systems.

Envisioning Tomorrow

The evolution of digital governance enables municipalities to enhance services, transparency, and democratic engagement. Cities must confront challenges like the digital divide and ethical issues while adapting to local needs. A blend of innovation, regulation, and inclusivity can create urban environments that are technologically advanced, resilient, and equitable. The future requires continuous dialogue, adaptable strategies, and a commitment to ensuring digital progress benefits all citizens, laying the groundwork for sustainable urban growth.


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[2] EuroCities. (October 1, 2024). Cities drive the future of digital democracy. https://eurocities.eu/latest/cities-drive-the-future-of-digital-democracy/

[3] TÜBİTAK. (2020). 2020-2023 National Smart Cities Strategy and Action Plan. Retrieved February 3, 2025, from https://en.bilgem.tubitak.gov.tr/en/2020-2023-national-smart-cities-strategy-and-action-plan/#:~:text=The%20%222020%2D2023%20National%20Smart,account%20the%20national%20needs%20and

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[7] Bannikov K.V., Radina N.K., Smirnova O.A., Shavarova D.V. Electronic petitions in France on the material of Change.org, a non-governmental e-petition platform. Digital Sociology. 2022;5(3):45-56. (In Russ.) https://doi.org/10.26425/2658-347X-2022-5-3-45-56

[8] USAID. Electronic petitions in France on the material of Change.org, a non-governmental e-petition platform. Retrieved February 3, 2025, from https://pdf.usaid.gov/pdf_docs/PA00ZN9N.pdf

[9] Tammpuu, P., Masso, A., Ibrahimi, M., & Abaku, T. (2022). Estonian e-residency and conceptions of platform-based state-individual relationship. Trames: A Journal of the Humanities and Social Sciences, 26(1), 3–21. https://doi.org/10.3176/tr.2022.1.01

[10] TÜSEV. (2018). Services for children and family In istanbul district municipalities. Istanbul 95. Retrieved February 3, 2025, from https://www.tesev.org.tr/wp-content/uploads/report_istanbul95.pdf

[11] European Parliament. (2023, February 2). Rotterdam ‘fraud prediction’ algorithms automating injustice: Dutch Government violating fundamental rights and the rule of law. https://www.europarl.europa.eu/doceo/document/E-9-2023-000780_EN.html

[12] Selbst, A. D. (2021). An institutional view of algorithmic impact assessments. Harvard Journal of Law & Technology, 35(1), 1-45. https://jolt.law.harvard.edu/assets/articlePDFs/v35/Selbst-An-Institutional-View-of-Algorithmic-Impact-Assessments.pdf

[13] Mora, L., Gerli, P., Ardito, L., & Messeni Petruzzelli, A. (2023). Smart city governance from an innovation management perspective: Theoretical framing, review of current practices, and future research agenda. Technovation, 2023, 102717. https://doi.org/10.1016/j.technovation.2023.102717

[14] World Bank. Citizen service centers: Pathways toward improved public service delivery. Retrieved from https://openknowledge.worldbank.org/bitstreams/16d95d32-c4b6-578e-b5b9-e0f4a732bf1b/download

[15] OECD. (2023). Digital government review of Türkiye: Towards a digitally-enabled government. OECD Digital Government Studies. Retrieved from https://www.oecd.org/content/dam/oecd/en/publications/reports/2023/05/digital-government-review-of-turkiye_69ffd9d4/3958d102-en.pdf