Platform urbanism under state entrepreneurialism: Governance incentives and dilemmas in developing smart platforms in Guangzhou, China

As a key infrastructure of platform urbanism, smart urban platforms integrate diverse information and communications technologies (ICT), such as video analytics, sensor networks, and big data-driven forecasting. Yet the development and governance of these platforms in China encounter profound challenges tied to the tensions inherent in platform urbanism, particularly the decentralization of traditionally hierarchical state controls. Drawing on an in-depth case study of Guangzhou, this paper investigates the political drivers underpinning the rise of smart platforms in China. While local governments leverage platformization to alleviate fiscal pressures, address information asymmetries, and navigate interjurisdictional competition, they simultaneously face critical capacity gaps in technological oversight. This governance deficit constrains the state’s ability to regulate technology providers effectively. In response, local authorities adopt hybrid strategies, relying on political contracting, profit-sharing arrangements, and investment-binding mechanisms, to assert partial control over platform operations. The findings reveal how state entrepreneurialism manifests in China’s smart city practices, balancing between market dependence and efforts to retain public authority in an increasingly data-driven governance landscape.