Israel is one of the largest economies in Middle East and North Africa region，Israel’s digital economy continues to grow these years，and the proportion of the GDP continues to rise. Also，Multinational technology companies have established overseas research centers in Israel. The scale of domestic e-commerce has expanded. Additionally，Israel is gradually advancing its National Digital Program for 2016-2022. Israel government is increasing technology and education expenditure，and strengthening digital infrastructure construction，supporting the establishment and development of start-up companies. As return of those efforts，Israel achieves the integrated development in digital economy. This article summarizes the development status of Israel’s digital economy industry，and introduces the extensive impact of Israel’s digital economy on the country’s economic development，medical level，social and people’s livelihood，and transparency in government affairs.