The growing competition for smart cities is one of the major areas of investment by developing and developed economies. Whether the investment is in human capital, social capital and/or ICT infrastructure, the basic concept of a smart city is to create a sustainable balance between economic development and high quality of life by excelling in multiple key areas; economy, mobility, environment, people, living, and government. There are number of views for an ideal Smart City, however the presentation aims to highlight the common challenges the cities in the Middle East face and potential next steps. The main areas of focus will be as follows: • Importance of clear implementation strategy – In absence of a set or pre-defined road map for a Smart City, the necessary steps depend on basics of cities' clear vision, determination, dedicated resources and delegation of responsibilities. • Stakeholders’ alignment – Involvement of right stakeholders and most importantly alignment of their priorities makes a major difference. • Synergy between sectors - Although the intention to cooperate is there, other interests are often given priority in practice. How to have a synergetic approach? • Function of ICT - Nearly everyone agrees that technology is not the problem on the road to smarter cities. Still, there are some technical challenges, like linking data across domains, implementation and control. • Behavioural change - Human behaviour is far more difficult to understand and to change than technology. It is important to understand the social context first. • Traditional Transport models –Would the standard 4-step models fit in practice within a Smart City context? Or should there be a shift towards intelligent and more real-time mobility models?