Based on the sample of Chinese A-share listed firms from 2011 to 2021, this study treats the intelligent manufacturing pilot policy as a quasi-natural experiment to empirically examine the impact of intelligent manufacturing on firms’ data technology innovation and its underlying mechanisms. The findings show that the intelligent manufacturing policy has a significantly positive effect on firms’ data technology innovation. Mechanism analysis reveals that this effect operates primarily through enhancing firms’ informatization capabilities, increasing data factor investment, and facilitating knowledge spillovers. Heterogeneity analysis reveals that intelligent manufacturing has a more significant promoting effect on data technology innovation in firms in highly marketized regions, firms in industries with rapid technological iteration, manufacturing firms, and large-scale firms. Furthermore, the economic consequences analysis suggests that the intelligent manufacturing policy not only increases the quantity of firms’ innovation output but also significantly improves its quality.