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This lecture explores the innovative governance of large urban systems, focusing on the impact of digitalization on city governance. It covers the concept of smart cities, emphasizing the importance of citizen's needs over technology, and discusses the sustainability and stakeholders involved in smart city development. The lecture also delves into TM's approach to smart cities, highlighting their platform strategy and services offered. Challenges in smart city implementation are addressed, cautioning against implementing new trends without sustainable benefits. A real example showcases how digitalization has transformed a city by collecting and utilizing data effectively.