The technology and the rise of Web 2.0. enabled the meteoric rise of P2P platforms facilitating transactions and consequential establishment of the sharing economy concept. This accelerated technological change has led to new dynamics in cities and tourist destinations such as over-tourism with the so-called arise of sharing economy significantly fueling it. The main purpose of our chapter is to systematically review this dual aspect of technological impacts in tourism. On the one hand, we review the technological aspects that underpin the development of sharing economy and consequential over-tourism in destinations. On the other hand, we consider aspects that seem to be promising to provide solutions and make the currently rather idealistic ideas of smart and socially sustainable destinations also work in practice. As such the chapter critically addresses and connects diverse concepts that are interrelated, but rarely discussed together