We often hear about smart cities, but what actually defines one? First, a smart city must be people-centric. Second, a smart city relies on big data to operate efficiently. Third, the city must be virtual in the sense that essential information on just about everything must be online and communication between people and the city must be doable both online and offline. Need help visualizing what a smart city looks like? Take a look at Tel-Aviv, the economic capital of Israel that has a local government recognized as a pioneer all around the world.