In recent years, the rapid development of digital economy has gradually become a new driving force for social and economic transformation and development, providing a good opportunity for promoting urban-rural integration and rural revitalization. On the basis of theoretical research, a comprehensive index system for digital economy and urban-rural integrated development was constructed, the efficiency of agricultural technology progress at the provincial level was calculated, and the impact mechanism of digital economy development and agricultural technology progress on urban-rural integrated development were empirically analyzed using the panel data at the provincial level from 2011 to 2021. The results show that digital economy promotes the integration of talents, economy, society, space, ecology and other aspects of urban and rural development, indirectly promotes the improvement of the efficiency of agricultural technological progress and has a positive intermediary role in promoting the urban-rural integration development, and the improvement of rural financial development has a strengthening role in promoting the urban-rural integration development of agricultural technological progress. Theoretical basis and policy basis are provided for analyzing the mechanism of digital economy driving urban-rural integration development.