In a rapidly evolving world, digitalization is already at the forefront of measuring the pace of development and modernization. We can see that our life, every area around us, is integrated with technological innovations, that is, digitalization partially or completely. Digitization is also causing major changes in the economy. Therefore, "digital economy", used as a new term, is a new form of economy based on digital information and technological innovation. This form of economy provides a high level of information and communication technology infrastructure and its mobilization for the benefit of users. Covering both civil society, government and business, this field creates new digital knowledge and skills.

This research examines the digital economy and its differences from traditional economies, examines the strategic route that develops digitalization in world practice, and determines the development and future prospects of the digital economy in Azerbaijan.