The new pay-by-cell program will be introduced as part of a pilot program in the downtown area this spring, and then rolled out throughout the City.
Drivers will be able to enter their meter number and amount of time into a smart phone application.
The program is part of Mayor Rahm Emanuel's renegotiated parking contract.
Last week, Emanuel announced that motorists and the city saved about $2.1 million in the last six months of 2013 under the revised contract.