Does digital infrastructure promote corporate digital and green transformation? Evidence from China’s Big Data Bureau initiative

Effectively balancing economic and environmental goals through digital and green transformation poses a major challenge for firms. This study focuses on digital infrastructure and investigates whether digital infrastructure drives corporate digital and green transformation, and how this effect is shaped by external pressures. Using panel data on Chinese listed firms (2015 to 2021), we find that DI significantly promotes both digital and green transformation. Moreover, media attention amplifies the impact of digital infrastructure on green transformation, while analyst coverage strengthens the effect of digital infrastructure on both digital transformation and green transformation. These findings provide micro-level evidence on the role of digital infrastructure in advancing sustainable development and highlight the importance of informal institutions in shaping firm responses to infrastructure investment.