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The global wave of digital transformation is influencing every aspect of human society. Digital government, or the digital transformation of government, has become a key priority for countries worldwide. In this process, digital government development plans have emerged as critical tools for advancing digital government across regions. However, the paths adopted by local governments in formulating these plans vary significantly. This study examines the patterns and potential factors of prefecture-level city governments in China when making digital government development plans. Utilizing nearly 400 digital government planning documents from 333 prefecture-level cities in China between 2018 and 2024, the research employs Structural Topic Modeling to classify the themes of these planning documents. Spatial analysis methods are then applied to explore the potential causes of regional differences in digital government planning. The findings indicate that digital government planning is not exclusive to economically developed regions in eastern China. Some less-developed cities have also emerged as leaders or pioneers in digital government development. While both types of cities can drive policy innovation, their focus differs. Cities in developed regions prioritize the comprehensiveness of digital government, with planning that encompasses data integration, platform development, public service delivery, and innovations in the governing process. In contrast, cities in less-developed regions tend to focus on a single aspect of digital government by investing significant resources in that domain. Case studies reveal that this “narrow” planning approach adopted by less-developed cities arises from their strategic responses to policy innovation. On the one hand, these cities align closely with the policy agendas of higher-level governments, particularly the central government, to comply with directives to build digital government. On the other hand, limitations in financial, human, and technological resources compel them to concentrate efforts on specific areas rather than pursuing a holistic approach like their developed counterparts. Using digital government development planning as an example, this study unveils the spatial characteristics and diverse patterns of policy innovation among Chinese local governments. It also delves into the political motivations behind different innovation pathways. The findings provide empirical evidence to understand the overarching trend and local characteristics in China’s digital government development and also offer theoretical insights into policy innovation at local level more broadly.T