China’s urbanization process has entered its advanced stages, marked by a rapid increase in the urbanization rate and the maturation of urban agglomerations, which provide a robust foundation for the development of AI cities. By 2023, the urbanization rate of permanent residents had reached 66.2%, while China’s AI market is experiencing exponential growth. The core industry is projected to reach 400 billion yuan by 2025 and surpass 1 trillion yuan by 2030. Despite these advances, the construction of AI cities still encounters significant challenges, such as the absence of efficient hierarchical decision-making systems and highly intelligent self-organizing capabilities. Additionally, intelligent infrastructure remains in the early stages of addressing data silos and model development. As technology continues to evolve and market demand expands, the development of AI cities should prioritize human-centric, demand-driven approaches, fostering positive interactions between technological innovation and social progress, and breaking down barriers to both technological and societal advances.