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    How U.S. Cities Are Using AI to Solve Common Problems

    Finance news

    Don Smith/Stocksy

    AI has the potential to revolutionize local government operations, but American cities face significant challenges in adopting these technologies. In interviews with more than 150 local leaders across dozens of U.S. cities, respondents consistently reported three problems: sclerotic and siloed bureaucracies, burdensome regulations, and risk aversion. AI, however, could be a turning point. Cities have successfully deployed AI to: automate tasks, make better decisions with data, and better engage with the community. The key factors in the cities that have done this successfully are: clear vision and strategy, systematic de-bottlenecking, public-private partnerships, and adherence to governance principles.

    America leads the world in innovation. The United States has the highest-valued startups, the most prestigious universities, the most prolific researchers, the best AI companies, and the most venture capital funding. American cities, however, are the exception. In the latest ranking of smart cities by the World Competitiveness Centre, no American city made the top 30 — and only New York, Boston, and Washington, D.C. made the top 50.

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