The rapid development of digitalisation provides opportunities for early childhood education and care (ECEC) including new learning materials and environments, new ways for staff development and collaboration, and strengthened links between institutions and parents. At the same time, digitalisation has created challenges to young children’s lives. From concerns about screen time to the misuse of children’s data, ECEC faces many dilemmas and difficult issues. This report sets out the opportunities and risks of digital technology for young children and identifies five key challenges and potential responses for the sector. At its heart, the report makes clear that ECEC should use digital technologies to improve the quality of services and prepare young children to understand the dangers and benefits of these technologies. It outlines a roadmap to help policymakers take a consistent approach to digitalisation in ECEC and support young children to thrive in the digital age. The report summarises findings from a two-year policy review that collected data from 30 countries and jurisdictions in 2022.