Abstract:Digital-enabled government services have become an important approach to advancing governance modernization and fostering a unified national market in the AI era. Exploiting the Internet Plus Government Services reform as a quasi-natural experiment, this paper employs a difference-in-differences (DID) approach with Chinese government procurement data from 2014—2023 to examine its impact on cross-regional procurement transactions. The results show that the reform significantly promotes cross-regional government procurement by reducing information search, contract negotiation, and contract enforcement costs. Supply effects are stronger in digitally intensive industries and procurement effects in regions with higher administrative barriers. Project-level triple-difference estimates further show that the reform increases the success rate of non-local bidders, suggesting gradual improvements in the business environment. These findings provide empirical evidence for advancing a unified national market, improving the business environment, and deepening government service reform.