Smart City Toronto: Extraction, Enclosure, Rentier Capitalism

Background: The failure of Sidewalk Labs’ smart city initiative in Toronto provides insight into the imperatives and contradictions of platform capitalism. Analysis: A political economy analysis reveals why this Alphabet subsidiary sought to expand the project beyond the parameters of the initial plan, stepping into a vacuum created by neoliberal forms of governance. Ultimately, the company’s expansionism resulted in a political backlash that scuttled the plan. Conclusion and implications: This case study highlights the political contradictions of platform capitalism, emphasizing the diversification of corporate strategies characterized by the extraction of data, enclosure of platforms, and accumulation of rentier profits.