Digital entrepreneurship is a recent phenomenon that has emerged owing to various factors, including technological innovation. This kind of entrepreneurship is currently implemented in many countries and has the potential to boost the economy and reduce poverty by creating employment and self-employment. This paper primarily looks to analyse the influence of technological innovation on the growth of digital entrepreneurship, and its effects on the economy through growth in employment. In the absence of any systematic review on this subject, this study aims to map the relevant research and study the relationship between technological innovation and digital entrepreneurship. A Systematic Literature Review methodology based on a sample of 76 papers from the Scopus and Web of Science databases, published between 1990 and 2022, has been used to identify, select, and evaluate published research. The results confirm that technological innovation is an important driver of digital entrepreneurship, but it needs to be combined with other key factors, such as digital knowledge and skills. This study contributes to existing literature by providing a more realistic view of what digital entrepreneurship means for individuals’ prosperity and generates valuable knowledge to create necessary conditions to promote sustainable and successful digital entrepreneurship. It also identifies several future lines of research that should offer meaningful value to academics and practitioners.