The exponential growth of connected devices and sensor networks has revolutionized data collection and monitoring across industries, from healthcare to smart cities. However, the true value of these systems lies not merely in gathering data but in transforming it into actionable intelligence. The integration of IoT, cloud computing, edge computing, and AI offers a robust pathway to achieve this transformation, enabling real-time decision-making and predictive insights. This paper explores innovative approaches to combine these technologies, emphasizing their role in enabling real-time decision-making, predictive analytics, and low-latency data processing. This work analyzes several integration approaches among IoT, cloud/edge computing, and AI through examples and applications, highlighting challenges and approaches to seamlessly integrate these techniques to achieve pervasive environmental intelligence. The findings contribute to advancing pervasive environmental intelligence, offering a roadmap for building smarter, more sustainable infrastructure.

The arising of the Cyber–Physical Systems’ vision and concepts drives technological evolution toward a new architectural design for the infrastructure of an environment referred to as a Smart Environment. This perspective alters the way systems within Smart City landscapes are conceived, designed, and ultimately realized. Modular architecture, resource-sharing techniques, and precise deployment approaches (such as microservices-oriented or reliant on the FaaS paradigm) serve as the cornerstones of a Smart City cognizant of multiple Cyber–Physical Systems composing it. This paper presents a framework integrating Digital Decisioning, encompassing the automated combination of human-derived knowledge and data-derived knowledge (e.g., business rules and machine learning), to enhance decision-making processes and application definition within the Smart City context.