Alphabet Inc. unit Sidewalk Labs LLC canceled its plan to develop a $3.9 billion smart city project in Toronto due to the economic situation brought by the coronavirus pandemic, Financial Times (London) reported May 7.

Sidewalk Labs spent at least $50 million for the development of the 1,500-page master plan, which would have included testing technologies.

FT cited a statement from Sidewalk CEO Dan Doctoroff saying it became "too difficult" to make the project financially viable while maintaining the original plan.

The project earlier faced criticism over data privacy concerns and disputes with city officials in relation to the covered land.

Sidewalk estimated the project would create about 93,000 jobs and about $14.2 billion in annual gross domestic product by 2040.