This report draws on lessons from cities around the world (Germany, UK, Luxembourg, Estonia, Kazakhstan, Finland, Canada, USA, Japan, UAE, and India); it provides a review of the Internet of Things (IoT) marketplace. The questions it answers include - what is IoT and why should governments care, how are different cities implementing IoT based solutions, and what are the main policy and other implications for government to fully utilize the potential of the technology while managing the associated risks and challenges? Findings include the fact that IoT implementation is still nascent in governments, the business models to scale pilots are still under-developed, the policy environment remains very patchy, and there is need to invest in digital capacity, data practices, and IoT infrastructure. The report includes a rough toolkit for government agencies.