Towards Inclusive and Sustainable Smart Cities: Digital Transformation, Community Engagement and Local Wisdom in Semarang and Kupang

Abstract

Smart city development requires approaches that integrate technological innovation, effective governance, social inclusivity, and sustainable solutions beyond conventional technology-driven perspectives. Aim: This study examines how institutional readiness, community participation, and variations in digital infrastructure shape the development of inclusive and sustainable smart cities in Kupang and Semarang, Indonesia. It addresses the limitations of uniform digital transformation policies that often neglect socio-spatial conditions and differences in local capacities, potentially widening digital disparities among urban populations and groups. Methodology and results: This research employs a qualitative comparative approach using field observations, policy document analysis, and semi-structured interviews conducted in Semarang and Kupang. Sixteen informants were interviewed in each city, representing local governments, private technology sectors, academic institutions, and community or civil society organizations. The findings reveal two distinct digital transformation trajectories. Semarang demonstrates stronger connectivity, application-based public services, and more advanced digital infrastructure, enabling broader implementation of technology-oriented smart city initiatives. In contrast, Kupang faces greater technological and infrastructural limitations but exhibits stronger locally embedded digital adaptation and community-based participation. Comparative analysis indicates that technological advancement alone does not guarantee inclusive digital transformation, as digital literacy gaps, unequal service accessibility, and limited infrastructure continue to constrain vulnerable groups. Conclusion, significance and impact study: This study highlights the importance of context-sensitive smart city strategies that integrate technological capabilities with institutional readiness, community participation, and the needs of diverse urban populations. The findings contribute to the development of a more adaptive smart city framework by emphasizing place-based approaches that promote digital equity and social-spatial inclusion across Indonesian cities.