The main aim of this study was to assess the current status, challenges, and existing opportunities of e‐Government in Ethiopia, particularly in Wachemo University. A descriptive survey method was employed. Using simple random and purposive sampling techniques, 258 samples were taken from the academic and administrative staffs. Data were collected using questionnaire, semi‐structured interview, and document analysis. The findings of the study revealed that the current status of e‐Government in Ethiopia and Wachemo University is unsatisfactory due to a repertoire of challenges such as lack of commitment in realizing e‐Government, lack of ICT regulations, inadequate ICT infrastructures, lack of digital literacy and awareness among citizens, and insufficient budget assignment to the University. Consequently, they have impeded to fully harness the benefits of e‐Government. Therefore, the study recommends that the Government and its institutions should be committed, take policy interventions, reap the opportunities, allocate proper budget to ICTs development, increase Internet penetration, and continuously empower citizens on the benefits of ICTs and e‐Government.