Impacting Information Technology and Telecommunications Infrastructure on the Digital Economy

Digital technologies such as Artificial Intelligence, Big Data, and the Internet of Things are developing at breakneck speed, creating a solid wave of digital transformation globally. The digital economy is increasingly asserting its role as a new growth driver. Therefore, the study's objective is to explore the critical factors influencing the digital economy and propose policy recommendations for enhancing the digital economy. The study applies quantitative research methods, mainly through actual data surveying of economic experts, to evaluate factors affecting the digital economy. The authors used the structural equation model to measure the impact of factors on the digital economy in five big cities in Vietnam. The data collection strategy involves direct interviews via a structured questionnaire with a sample size of 800 economic experts and analysis using SPSS version 20.0 and Amos software. The finding identifies eight critical factors influencing the digital economy at a significant level of 0.01 and eight accepted hypotheses. The study's novelty contribution highlights the considerable influence of information technology and telecommunications infrastructure on Vietnam's digital economy. Finally, the authors proposed policy recommendations to enhance the digital economy; moreover, this model can be used in each locality or the whole country in researching and evaluating the impact of factors on the digital economy. Moreover, digital transformation has become a global trend, and digital recommendations will be applied to better manage environmental issues toward green growth and sustainable development. Doi: 10.28991/ESJ-2025-09-02-026 Full Text: PDF