Malaysia’s tourism industry has incorporated digital technology to attract, inform and serve travellers, but its adoption is limited among community-based tourism (CBT) providers. Because of its importance in the tourism industry, exploring the factors that trigger or hinder the adoption of digital technology among CBT operators is essential. A qualitative approach was utilised, and semi-structured interviews were conducted with 35 CBT homestay operators selected through purposive sampling. The study found differences in the perception and usage behaviour of tourism-related technology among homestay operators. They find digital technology has improved their business operation efficiency and revenue performance. By improving internet connectivity and access to digital resources, homestay operators will be better positioned to utilise digital technology effectively, facilitating improved communication and marketing strategies. Besides, implementing targeted training programmes to enhance homestay operators’ digital literacy is crucial. The study also identified specific challenges that hindered homestay operators’ use of digital technology. Study implications and limitations are also discussed.