This expanded attack surface increases the opportunity for threat actors to exploit a vulnerability for initial access, move laterally across networks, and cause cascading, cross-sector disruptions of infrastructure operations, or otherwise threaten confidentiality, integrity, and availability oforganizational data, systems, and networks. (Cybersecurity and Infrastructure Security Agency, 2023, 4)
In the context of this expanded ‘attack surface’, US-aligned policymakers often argue that the inclusion of Chinese smart city technology offers a ‘back door’ to critical infrastructure systems. Consequently, the US-China Economic and Security Review Commission commissioned research on Chinese smart cities, and the resultant report recommended that the United States ‘should undertake measures to insulate certain types of critical smart infrastructure from supply chain infiltration by Chinese companies, especially core telecommunications infrastructure, electrical power grid systems, and other categories that together make up the foundation of smart city development’ (Atha et al., 2020). Doing so would require the creation of multilateral financing vehicles involving US policy banks and allies like Japan and Korea. Even before this report was published, the US-ASEAN Smart Cities Partnership had been announced,<sup>10</sup> and some of its initiatives are indeed funded by the Development Finance Corporation (DFC).<sup>11</sup> The partnership is not limiting its support to countries in ASEAN – for example, it recently supported a small project in Rio de Janeiro.<sup>12</sup> But this is one of many projects in a crowded field – Brazilian cities incorporate smart city technology from firms in the United States, China and many other countries (Majerowicz and de Carvalho, 2024). This mirrors developments elsewhere. Indeed, with few exceptions, most cities will incrementally adopt smart city technology rather than embrace wholesystem solutions. To this end, they will combine US and Chinese technology, and in this context American and Chinese firms will jockey for position. For both the Washington and Beijing, smart cities will remain a focal point of competition as they compete to control the integration of digital systems with infrastructure networks.
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<sup>10</sup> www.usascp.org/.
11 www.dfc.gov/media/press-releases/dfc-approves-1-billion-investments-global-development.
12 www.dfc.gov/investment-story/reducing-emissions-introducing-smart-city-infrastructurebrazil.