Innovative developments in data information and digital technology provide new ideas for driving the integrated development of urban and rural areas, and also provide new momentum for solving issues of agriculture, farmer and rural area, and realizing rural revitalization. Based on a provincial panel data in China from 2013 to 2021, this paper empirically tests the impacts, mechanism and spatial effects of the digital economy on urban-rural integrated development by the Two-way Fixed Effects Model and the Spatial Durbin Model. Results show that: 1) the development of the digital economy can significantly improve the level of urban-rural integrated development; 2) the digital economy can drive urban-rural integrated development by improving government behaviors and promoting scientific and technological innovation; 3) the promotion effect of digital economy on urban-rural integration has obvious regional heterogeneity, and the central and western regions are better than those in the eastern region, and the spatial panel regression shows that the digital economy has a spatial spillover effect on urban-rural integration. Accordingly, it is proposed that different regions should accelerate the construction of a new pattern of innovation-driven and government-guided modern agricultural development according to their own economic, cultural and other geographical or environmental advantages, break the dual structure of urban and rural areas, and promote the differentiated and integrated development of urban and rural areas.