The ‘smart city' notion places a lot of emphasis on using information and communication technologies to boost connectedness and quality of life and effectiveness of various local authorities (ICT). Smart city services stimulate the practice of cloud- and IoT-based services that have included actual web applications that make use of sensors, smart phones, and RFIDs. Cloud platforms besides the IoT persist the two ICT models that are currently dealing the greatest influence on the Industrial IoT as well. Both concepts significantly influence the way it has developed and put into practice applications and smart city solutions. The first phase of this study highlights key features of IoT and Cloud along with smart city applications. Further in the second phase the research investigates the confluence of cloud platforms with IoT to build up the smart city besides various challenges associated in smart city implementation. Lastly, the research focuses on the smart cities' requirement for cloud-based IoT applications and provides the future direction in adaptability of smart city.