This chapter elaborates on the impact of digitisation on international trade. It explains both the benefits of digitisation and the issues that the digital economy faces. Digitisation has allowed for unprecedented supply of goods and services across borders and has removed many practical barriers to the cross-border supply of services. However, the positive impact of digitisation on the global economy has not reached all countries to the same extent. The ‘digital divide’ entails that several developing countries at the moment do not sufficiently benefit from the changes brought about by digitisation. The chapter further elaborates on the impact of digitisation for services trade specifically. In order to set the scene for the rest of the book, the concept of digital services is contextualized and explained, providing the reader with a clear understanding of the subject of the legal analysis that will be conducted in the rest of the book.