1. Introduction
The smart city concept was first proposed in the 1990s with the focus on employing information and communication technologies (ICTs) for developing modern infrastructure in cities [
1]. Smart cities serve the well-being of the urban population with the aim of enhancing quality of life, fostering economy, resolving transportation and traffic problems, supporting a clean and sustainable environment, and providing accessible interactions with government authorities [
2]. The six main basic dimensions for a smart city are smart governance, smart economy, smart mobility, smart environment, smart people, and smart living [
3]. This will assist in achieving several sustainable development goals, such as sustainable cities and communities, quality education, good health, and well-being, along with industry, innovation, and infrastructure [
4,
5,
6]. With the rapid growth of population and urban expansion, the smart city concept attracted significant attention and was quickly adopted worldwide. The number of smart cities with a clear smart city strategy over the world doubled from 87 in 2017 to more than 153 in 2019 [
7]. Government authorities in Saudi Arabia have also initiated and established several high-profile economic cities, special zones, and 10 new smart cities across the country [
8].
Although ICTs play a vital role in smart city development, they are only viewed as a solution towards specific problems in urban planning and management without the consideration of their possible negative effects [
9,
10]. For example, systems and services could be vulnerable to information security issues such as cyberattacks, data breaches, and poor management and operation models [
11]. In 2018, with the consideration that some companies report all data breaches, more than 148 million peculiar malware and 62,000 Internet of Things (IoT) attacks were found, and over 70 million personal records were stolen or leaked [
12]. Another example of the negative effects is the isolation of the population who have a shortage of technical skills because of the rapid digital transformation of public services [
13,
14].
Systematic and empirical studies are essential for identifying potential challenges and required measures to reduce their negative effects. Different from existing studies that looked at the downsides of the involvement of ICTs in smart city development [
15,
16,
17,
18], this study investigates and analyzes these downsides within the context of a realistic sample. Although the study samples were the population of Saudi Arabia, the conclusion drawn from the study could be also applied to other countries, such as Gulf Cooperation Council (GCC) countries that are similar in terms of culture, economy, education, and other criteria. The study was carried out to systematically identify the associated challenges of smart city development from the literature as well as possible solutions. In addition, a questionnaire survey was distributed among residents of Saudi Arabia to study their perceptions about smart city development, including the challenges, expectations, and concerns. Then, the reasons for the incompatibility between different systems and the digital skill gaps between the public were further investigated through semi-structured interviews with 26 respondents. The main contributions of this paper are:
A systematic literature review identifying the challenges of smart city development, their effects, and possible solutions. A total of 253 journal and conference articles were first obtained, which were scrutinized to 67 selected articles after disregarding the articles that were outside the scope of this study. Four major potential challenges have been identified from the literature, which are information security risks, privacy violation, incompatible systems, and digital skill gaps.
A questionnaire survey investigating the perception of the Saudi Arabian population with respect to smart city development in terms of the associated challenges of smart city development, their severity level, and possible solutions. A simple random sampling was followed to obtain 234 valid questionnaires.
Semi-structured interviews investigating the reasons for the incompatibility between different systems and the digital skill gaps between the public. The interview was based on a set of questions to obtain “why” rather than “how many” or “how much” [
19].
The study included four phases, which were identifying associated challenges of smart city development, questionnaire design, data collection, and analysis methods, which are shown in
Figure 1. In the first phase, the associated challenges of ICTs in smart city development, their effects, and their possible solutions were identified. In the second phase, a questionnaire survey and semi-structed interview were designed according to the findings to identify the perception of the population of Saudi Arabia. The data were collected in the third phase by carrying out the questionnaire survey and semi-structed interviews among residents in Saudi Arabia who were potential users of smart city services. Finally, the analysis was conducted by implementing several statistical methods to obtain the perspectives and preferences of the respondents on smart city services and the associated challenges that could be faced in developing smart city, including their causes, effects, and possible solutions.
The rest of the paper is organized as follows:
Section 2 describes the considered case study, including the smart cities project in Saudi Arabia. The four phases of the methodology are described in
Section 3. The subsections of the Methodology section describe the highlighted associated challenges of smart city development, their causes, and their effects as detailed in the literature; the Methodology subsections also describe the design of the questionnaire survey, semi-structured interviews, and data analysis.
Section 4 discusses and highlights the findings according to their scope and domain. The discussion of the practices that could help overcome the associated challenges is presented in
Section 5. Finally, the paper is concluded in
Section 6, highlighting open issues for future research works.
4. Survey Findings
The next subsections discuss the findings according to their scope and domain. The perspectives and preferences of the respondents on smart city services are first analyzed. Then, the potentials of challenges that could be faced in developing smart cities are discussed, including their causes, effects, and possible solutions.
4.1. Perspectives on Smart City Services
The public understanding about the smart city was assessed to obtain the extent to which the government’s vision agrees with the public’s understanding of smart cities in Saudi Arabia. Initially, the participants were asked to self-assess their knowledge about the smart city concept in general. The responses indicated that 17.2% of the respondents knew nothing about smart city concept, whereas 24.35% had some knowledge. Most of the respondents, 58.45%, stated that they had some knowledge about the smart city concept. The participants were also questioned about their association and involvement with the Saudi smart cities initiative. The obtained results showed that 16.7% of the respondents had no idea about the smart cities initiative, whereas 31.2% of the participants heard about the initiative but had no interest in it. Around 23.1% of the respondents were very interested in smart city initiatives but were not involved. Only 15.8% of the respondents were involved in the smart city initiative by joining public forums about the initiative or through other means. However, more than 69% had knowledge about the underdevelopment of Saudi smart cities; for instance, 53.9% knew about NEOM City. It can be concluded that the smart city concept is not popular yet among the population of Saudi Arabia.
Most respondents, 59.95%, reported that the services that bring more stable and safer life are more useful and fulfill the population needs in smart cities. Around 31.1% agreed that services that benefit their interpersonal relationships with others are more significant, and 20.35% of the respondents believed that the more significant services are those related to personal development, self-esteem, and self-actualization. The findings reflect the significance of safety and security services to the public. The relationships between the demographic characteristics of the respondents and their perception of the usefulness of the services were analyzed using Mood’s median test because the data followed a non-normal distribution. The median of smart city perception ranged from 0 to 14, with a median value of 1. The findings indicated that there is no significant difference between the respondents’ services perception and their sex (), age (), and location (). However, there was a significant statistical difference between the smart city perception and the education level of the respondents (). The results showed that 25% of the respondents with a secondary school degree reported the significance of personal development services, and a similar percentage was reported for services that are related to interpersonal relationships with others. On the other hand, 16.6% of postgraduate degree holders stated that personal development services are more useful and important, while the rest selected safety and security services.
4.2. Associated Challenges on Smart City Development
The main concerns of the public about smart city services that were obtained from the literature review were investigated. Information security risks (51.25%) and privacy violations (49.35%) were considered to be the top concerns, especially for the respondents who had a Master’s degree or above. This could be because they are working with sensitive and confidential data due to their professional nature. The concerns of digital skill gaps (30.95%) as well as incompatibility between different systems (23.3%) were not considerably high. This is due to the noticeable success of the Human Capability Development Program under the umbrella of the Saudi Vision 2030 in preparing national human capabilities to compete globally, which has been accomplished by instilling values and developing basic and future skills and knowledge [
104]. Moreover, several camps and fellowship programs have been organized by several government sectors and entities, such as the Saudi Digital Academy, Misk Academy, Tuwaiq Academy, and others to develop university graduates with essential skills that the labor market needs [
105]. Participants who had no concern about smart city development only represents 10.25%, which indicates that the concerns are realistic and considerable and requires further investigation on the causes and solutions. In the following subsections, the findings of the five-point Likert-scale questions are discussed regarding the challenges, causes, effects, and solutions.
4.2.1. Information Security Risks
The main possible causes of information security risks are investigated in terms of occurrence likelihood and severity, as shown in
Table 9. Using a mean score ranking, “cyberattacks” cause had the highest likelihood (3.31) with a severity of 3.54 among the other causes. This is due to the high rate of cyberattacks in Saudi Arabia, where 7 million cyberattacks hit the country in the first two months of 2021 [
106]. The second highest occurrence likelihood was obtained by the “poor management and operation models of outsourcing products and services”. The outsourcing of products and services is an effective management tool to reduce firm costs, focus more on the company’s core competencies, and improve flexibility and performance by delegating some responsibilities to external companies. However, it brings significant risks that must be recognized and managed, including security and confidentiality, politics and reputation, delays in task completion, and performance degradation.
The “human errors and negligent staff” cause had the third highest of occurrence likelihood (4.04), although its occurrence likelihood was ranked fourth (3.63). Most information breaches to an extent are related to the exploitation of committed errors or user behaviors of an organization staff; hence, the human factor is considered a key cause of security breaches [
107]. It is essential for government and private entities to evaluate human factors and their impact on the vulnerability of the security system and notify individuals who were impacted by information security breaches. It is noticeable that “limited security sponsorship and management support” had the highest severity level (3.73) despite its occurrence likelihood being the last among the other causes (2.95). This cause could occur in small and large entities; however, it has a low probability in Saudi entities. It mostly leads to other possible causes such as “weak security and encryption” or “poor management and operation models” [
108].
The effects of information security risks were also studied by measuring the mean scores of the severity level as presented in
Table 10. The most severe effect was “breaching the confidentiality of user data” with a mean score of 3.31. Data confidentiality is an essential part of information security to prevent the stealing of personal data such as patient profiles, credit cards, or other information. Several cyberattacks have occurred worldwide, targeting personal data. In 2018, for example, 1.5 million patient profiles were stolen from Singapore health authorities and the details of 40,000 credit cards were obtained by accessing the data of 380,000 Hong Kong broadband network customers [
88]. Moreover, the severity of “economic loss” and “system failure and non-availability of essential services” was followed by mean scores of 3.28 and 3.07, respectively. According to [
109], the amount of cyberattacks increase every year; for instance, 19% of Saudi companies was affected by cyberattacks in 2012 while in 2018, it reached 31%, with a total cost of around USD 692 million.
Table 11 presents the ranks of the solutions of information security risks in terms of effectiveness. The most effective solution is to develop a cybersecurity strategy and recovery plan (3.52), followed by implementing general technical countermeasures such as frequent backups, anti-virus programs, software updates, etc. (3.47). The cybersecurity strategy includes a series of objectives and principles that must be implemented. For instance, the National Cybersecurity Authority in Saudi Arabia have developed extensive cybersecurity policies and relevant practice guides to share them with relevant entities and have followed up on their compliance [
110]. However, it is impossible to completely mitigate the security violations; hence, it is essential to prepare recovery plans to reduce the effect and damage of an incident. Other effective solutions include employing/developing well-defined standards for developing and managing ICT services (3.47) and improving security awareness and availability safeguards and conducting continuous vulnerability assessment (3.37). Decision-makers should adopt standards that optimize the system security of smart cities where different standards for different scopes of work were proposed by different standardization organizations such as the ISO, IEEE, and ETSI.
4.2.2. Privacy Violation
Privacy violation was rated as the second highest concern with 49.35% responses. Surprisingly, 92.36% of the participants who expressed their worry about privacy violations either never read disclaimers/conditions (58.81%) or read it sometimes (41.19%). On the other hand, around 7.64% of the respondents who expressed their worry about privacy violations always read disclaimers/conditions. The study also investigated if the respondents would stop using a system or installing an application if they do not accept disclaimers/conditions. Slightly less than half (45.2%) reported that they would stop using the application/system while the majority (48.4%) reported they might stop depending on the application/system. Only 6.5% of the respondents would stop using the application/system, which emphasizes the necessity of improving user privacy awareness and behavior by educating them about privacy-related topics. The ignorance of disclaimers/conditions could lead to the possible intrusion and misuse of personal information as most applications declare that user data will be used for other external/third parties or for other unknown purposes.
The study also investigated the types of information that the participants were unwilling to reveal during the downloading or usage of services and applications. The participants were asked about four common information types or any others, including location, email address, phone number, and social media accounts. Location gained the most negative responses (47.65%), followed by phone number (40.08%) and social media accounts (39.65%). This finding is possibly because sharing location could be used by unauthorized parties to track users or derive the users’ behavior patterns based on location information during a period. Moreover, the users can be identified by their behavioral patterns and other information such as email address, resident address, and social media account. A small percentage (1.85%) of the participants were willing to reveal their information to use services/applications.
The findings of investigating the possible causes of privacy violation are presented in
Table 12. The highest severity level could occur through “unauthorized access to systems” (3.67), with the third highest occurrence likelihood rank (3.02). Privacy violations represent any act against privacy rules and policies, which include the unauthorized access of data and systems, unauthorized copying or transferring of data, selling of data to a third party, or other instances [
111,
112]. The lack of knowledge and awareness on data protection was considered the second top severity cause of privacy violation (3.64). This cause had the highest likelihood (3.05), which emphasizes the necessity of improving public awareness. A recent study reported that 53.4% of the study respondents were not aware of cybersecurity laws in Saudi Arabia [
113]. Several studies have shown that the level of information security awareness has a positive relationship on the security-related behaviors of the individuals [
114]. The absence of strict regulations to protect user data also had a high severity level (3.53); however, it had the lowest probability of occurrence (3.52). The wide use of big data technology, especially in smart cities, leads to a collection of excessive personal data and consequently the possibility of privacy violations. In such a case, individuals do not have strong control over their personal data.
Due to the fact smart cities may pose threats to public privacy, decision-makers must pay more attention to privacy protection. The severity analysis of the effects of privacy violations, as presented in
Table 13, has indicated that information exposure, citizen tracking, or impersonation has the most severe consequence (3.31), followed by economic loss (3.28) and risking public trust towards the society and posing threat to democracy (3.07).
According to
Table 14, the most effective mitigation measure for protecting the public’s privacy is to establish standards on how public data can be collected and used (3.45). The first federal Personal Data Protection Law (PDPL) to regulate the processing of personal data was issued in September 2021 and enforced starting March 2022. It is expected that organizations will make significant changes to operate according to the regulations. Date is collected ubiquitously in smart cities; hence, several solutions could be conducted along with privacy regulations to ensure privacy protection, including educating and training users to improve their knowledge and awareness of information privacy (3.44). The developers must also be educated and trained regarding their responsibilities and best practices. However, privacy regulations have a direct impact on privacy protection compared with improving public awareness, which is a long-term solution. The third effective solution is to conduct privacy impact assessments (PIA) to assist organizations in obtaining and managing privacy risks that might arise from new projects, initiatives, systems, processes, etc. (3.40).
4.2.3. Incompatibility between Different Systems
Different possible causes could lead to the incompatibility between different systems. The incompatibility issue arises from the management and planning slacks rather than the technology itself at the levels of either entities or country. As shown in
Table 15, the analysis has indicated that the independent development and non-integrated services and applications have the highest severity level among the other causes (3.55), with an occurrence likelihood of 2.98. The second highest risky cause (3.52) is that governments usually have information of a confidential nature and risk-averse policies, which had a possibility of occurrence of 3.06. This is reflected in policies, laws, and political force that could be enforced for project approval, resource monitoring, and management. The cause with the third highest severity is the incompatible data standards and formats, where the mean of severity level was 3.49 and the mean of occurrence likelihood was 2.95.
The study of the severity level of the effects of incompatibility between different systems, as illustrated in
Table 16, has shown that the most severe effect is reducing the efficiency of smart cities (3.36). This is followed by the severity of replicated facilities, resources wasting and overlapping, (3.33), and discomfort and dissatisfaction (3.29). For instance, developing different systems or platforms for the same service without integration could require the users to switch between these systems or platforms to search for relevant information.
Table 17 illustrates the findings of studying the solutions to address the issues arising from the incompatibility between different systems. The most effective solution is to formulate open standards and improve data quality (3.83). The open standards will facilitate using and transferring data across different systems and sectors, consequently enhancing the quality of services, especially services that require processing by multiple sectors. The second most effective solution is to plan the process of systems and data integration at the design stage (3.58), where it ensures the compatibility between systems and devices proactively without compromising the functionality. It is also an effective solution for promoting cross-sectional collaboration between different interfacing organizations (3.57).
To identify the reasons of the incompatibility between different systems, five face-to-face interviews were conducted with stakeholders involved in smart city services. Four major concerns of compatibility and integration between services were identified as follows: (1) extra cost for facility procurement, legacy system upgrade, and extra manpower; (2) disclosing the information of systems and services may leak business conditions and other confidential information; (3) ownership of data in an integrated platform and services; and (4) developing their own platform and services to make more profits.
4.2.4. Digital Skill Gaps
The digital skill gaps concern was investigated by posing five-point Likert scale questions regarding the frequency and difficulty of using existing e-services such as online mapping, navigation systems, etc. The responses indicated that around 34.91% of the respondents were always using e-services in their daily life. Interestingly, only 7.6% of the respondents reported that they do not use e-services in their daily life. The other ratings were 22.5% for frequently, 20.14% for sometimes, and 14.85% for seldom. On the other hand, the rating percentage of the responses regarding the ease of utilizing e-services was 27.6% for very easy, 22.75% for easy, 18.3% for moderate, 14.85% for difficult, and 16.5% for very difficult. The proportion of elderly participants (more than 45 years old) who reported that using e-services was very difficult was 49%. Around 81.82% of the respondents who were more than 60 years old reported that using e-services was very difficult compared to the 16.67% reported by participants aged 45–60 years; on the other hand, this was reported by 20% of participants aged 31–35 years and 11.11% of participants aged 18–30 years. This indicates that the usage difficulty is higher in elderly groups than the younger ones. However, it can be generalized that e-services are sometimes used (mean = 2.89) and moderately (mean = 3.28), as the mean values are between 2.61 and 3.40.
Table 18 shows the analysis of the likelihood and severity of possible causes of digital skill gaps. The analysis of the possible causes of digital skill gaps has shown that the highest severity (3.65) could occur due to the lack of digital literacy skills, with a possibility of occurrence of 2.99. Different sectors could actively contribute to the learning process such as project building companies, non-profit organizations, and authorities. In this context, the Ministry of Communications and Information Technology in collaboration with public and private sectors have established Attaa Digital in 2018, which is a non-profit specialized initiative to overcome digital literacy and improve digital skills in all members of society [
115]. The initiative until July 2021 presented more than 1900 training programs and reached more than 18 million beneficiaries. The initiative also supported 113,000 low-income families with more than 28,000 tablets and 110,000 data chips [
116]. The second most risky cause was the poor quality of services (3.60), with a mean score of likelihood of 2.99. A recent study inspected the customer satisfaction of Saudi telecommunication companies by analyzing tweets related to their services including network coverage, quality of voice transmission, Internet speed, customer services, successful calls, etc. [
117]. The results showed that the average level of customer satisfaction with the services of the three companies is below 50%. Information and communications technologies are the backbone of smart cities development; hence, improving the services is necessary to meet the expectations of the public and requirements of developing smart cities. The third most risky cause was the lack of training programs for unskilled citizens (3.60), where the occurrence likelihood was 2.85. Despite the large number of academies and initiatives that have been established to provide training programs for unskilled citizens, more training programs are needed to build up the capability of enjoying the benefits brought by smart cities.
The severity level of the effects of digital skill gaps indicated that the most severe effect is the economic and social inequality (3.25) followed by reducing the effectiveness of smart cities (3.23), as shown in
Table 19. The smart cities in Saudi Arabia are still emerging and not all services are digitalized; thus, the severity of the effects was not ranked very high. The continued growth of smart cities could divide the public by providing access to more information and benefits for specific groups rather than for disadvantaged and excluded individuals.
According to
Table 20, the most efficient solution is to provide financial support for computer acquisition or Internet access and decrease telecommunications charges (3.54). This is followed by mitigating the effect of digital skill gaps and providing education and training programs to unskilled people (3.51). Another effective solution is to motivate the public and private sectors to initiate and get involved in digital initiatives (3.49). Such solutions will overcome the attitude barriers and concerns dividing the public in aspects of service benefits.
To further investigate the reasons behind the digital skill gaps, the authors interviewed nine old males and two old females in the age range between 61 and 75 years old with different education levels. Eight of the interviewees owned smartphones, whereas only three owned dumbphones that could not run most applications and services. The interviewees were using electronic devices/services rarely, such as for calling, chatting, and sharing photos via the WhatsApp application. They were facing difficulty in using electronic devices due to either poor digital literacy or poor eyesight. Four participants expressed their interest in conducting training and workshops on how to use electronic devices. The other participants considered such training unnecessary as they usually asked for help from their family members and friends. Although the elderly seldom has needs for electronic devices and services in their daily life, it is better to educate them and improve digital literacy before more city services are digitalized.
5. Discussion
According to the findings, this section highlights the practices that could help overcome the associated challenges of smart city development by enriching the existing theory and by improving the managerial practice. One of the significant practices is the regular evaluation of the impact of organizations’ staff on the vulnerability of the security system and accordingly conducting essential training and workshops. Such practices will significantly reduce the security breaches from the exploitation of committed errors or user behaviors of an organization’s staff. Globally, each national cybersecurity authority should develop and implement extensive cybersecurity policies and relevant practice guides that must be followed by the relevant groups and individuals. Moreover, all authorities should emphasize adopting standards that optimize system security and reduce the incompatibility between smart city systems.
Another practice that could significantly enhance privacy is developing regulations on how public data can be collected and used. Simultaneously, educating and training users about these regulations will improve their knowledge and awareness of information privacy. Promoting and supporting cross-sectional collaboration between different interfacing organizations and accordingly considering the integration between their systems at the design stage are effective practices for mitigating the incompatibility between different smart city systems. Financial support for computer acquisition and Internet access is the most effective practice for promoting the utilization of digital technologies and consequently the digital skill gaps.
6. Conclusions
Information and communication technologies play a key role in the development of smart cities; however, it is only viewed as a solution towards specific problems in urban planning and management without taking into consideration the several challenges and negative effects. This paper revealed these challenges by conducting a comprehensive literature review and event-based research on the Saudi Arabian population. According to the findings, information security risks, privacy violation, incompatibility between systems, and digital skill gaps are the major challenges. Implementing a cybersecurity strategy (e.g., the National Cybersecurity Authority in Saudi Arabia) and recovery plan to reduce the effect and damage of any possible incident are effective solutions for mitigating information security risks. Privacy violations could be addressed by regulating how public data can be collected and used in addition to improving the public’s knowledge and awareness of information privacy. Formulating open standards and planning the process of systems and data integration at the design stage facilitate the usage and transferring of data across different systems and ensure the compatibility between systems and devices. Digital skill gaps could be addressed by providing financial support for computer acquisition and Internet access, as well as providing education and training programs. However, the limitation of this study is that some questionnaire items do not consider some personal determinant factors such as the difference in terms of ICT knowledge, smart cities awareness, and personal innovativeness. Thus, it is encouraged in future studies to examine how the differences between the public in terms of ICT knowledge, personal innovativeness, and awareness about the smart city concept could affect their preferences and perceptions.