Corporations are increasingly applying digital technologies to gain competitive advantages. However, not all firm initiatives result in digital innovation. Studies have highlighted the ambivalent role of individual factors, such as technological, organisational or environmental factors, in fostering or hindering digital innovation. Using a configurational approach of fuzzy set qualitative comparative analysis (fsQCA), we investigate the interplay of six conditions within the technology-organisation-environment (TOE) framework that potentially influence digital innovation. Based on data from 195 Chinese manufacturing companies, we identify four configurations that lead to digital innovation. This study enhances understanding of the interdependence of the causal conditions (e.g., technology infrastructure) in set relations with outcome of digital innovation in different firms. This study also enriches the literature that investigates antecedents of digital innovation holistically.