Transformation into a prosperous smart city has become an aspiration for many local governments across the globe. Despite its growing importance, smart city transformation readiness is still an understudied area of research. In order to bridge this knowledge gap, this paper identifies the key factors affecting smart city transformation readiness in the context of Australian cities. The empirical investigation conducted in this study places Australian local government areas (n = 180) under the smart city microscope to quantitatively evaluate, through a multiple regression analysis, the key factors affecting their urban smartness levels—a proxy used for smart city transformation readiness. The findings disclose that the following factors determine about two-thirds (65%) of the smart city transformation readiness: (a) Close distance to domestic airport; (b) Low remoteness value; (c) High population density; (d) Low unemployment level, and; (e) High labour productivity. The study findings and generated insights inform urban policymakers, managers and planners on their policy, planning and practice decisions concerning smart cities.
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