The concept of “smart city” is evolving as a new approach to mitigate and remedy current urban problems and make urban development more sustainable. Against the background of economic and technological changes caused by the globalization and the integration process, cities in world face the challenge of combining competitiveness and sustainable urban development simultaneously. Very evidently, this challenge is likely to have an impact on issues of Urban Quality such as housing, economy, culture, social and environmental conditions. The concept of the smart city as the next stage in the process of urbanisation has been quite fashionable in the policy arena in recent years, with the aim of drawing a distinction from the terms digital city or intelligent city. Its main focus is still on the role of ICT infrastructure, but much research has also been carried out on the role of human capital /education, social and relational capital and environmental interest as important drivers of urban growth. Urban performance currently depends not only on the city's endowment of hard infrastructure (physical capital), but also, and increasingly so, on the availability and quality of knowledge communication and social infrastructure (intellectual capital and social capital). The latter form of capital is decisive for urban competitiveness.