<p>Since 2020, Woven by Toyota, a subsidiary of Toyota Motor Corporation, has been establishing Woven City in Susono City, Shizuoka, Japan. While previous research characterizes Woven City as a corporate smart city, Toyota frames it as a test course for human-centered mobility innovation, integrating advanced technologies and sustainable urban solutions. The present study explores the anticipated roles and potential impacts of Woven City through surveys and interviews with Susono City government officials, Toyota employees, university professors, civil society personnel, and local citizens. Using thematic analysis, this study identifies Woven City as a pioneering case of a “glocal” innovation ecosystem for integrated sustainable development. It emphasizes its role in balancing technological innovation, economic growth, community engagement, and environmental sustainability. As the first urban initiative led by a mobility company with a unique resident recruitment model and strict control over governance, this study provides valuable insights into how systems theory can inform the design, management, and analysis of urban initiatives. The study contributes to advancing urban planning by presenting a theoretical and practical framework that aligns locally developed technologies and innovation in Woven City with global sustainability goals. By addressing pressing issues, such as fostering economic growth, reducing environmental degradation, and promoting social equity, Woven City demonstrates how localized technological solutions can achieve a global impact. The findings provide actionable insights for urban planners, policymakers, and developers, offering a replicable framework for scaling innovative urban solutions to address global challenges while meeting local needs.</p>