The project was first initiated by Waterfront Toronto in 2017 by issuing the request for proposal (RFP) for development on the Quayside area.
The RFP set objectives to meet C40 Climate Positive sustainability, test cleantech building materials, provide 500–800 units of affordable rental housing, establish a complete community with open public spaces and strong links to adjacent neighborhoods, develop information infrastructures to aid decision-making and attract innovative businesses and talent, and secure funding and investment partnerships.
According to their press release, their plan was to "design a new kind of mixed-use, complete community" and apply new digital technology to "create people-centered neighborhoods."
This digital layer would have managed a repository of data and provided an application programming interface for third-party developers.
According to the proposal:[5] [dead link] There had been numerous critics concerned of Orwellian privacy control with the Sidewalk project due to the nature of the public systems created.
The proposed trust would be guided by a charter ensuring that data is collected and used in a way that is beneficial to the community, protects privacy, and spurs innovation and investment.
[10] In February 2020, Waterfront Toronto endorsed 144 of 160 innovation proposals from Sidewalk Labs, saying the other 16 could be dropped, altered or replaced.
She argues that the model is formulated because "corporations are seeking to exert influence on urban spaces and democratic governance.
"[14] She claims that not just Sidewalk Labs, but elected officials and politicians of Toronto considered the plan as a way of boosting the economy and brand the city as a world leader supported by a leading tech company.