This study investigated the prospects and challenges of digitization of academic library resources for effective service delivery in universities Edo State. A survey research design was adopted and questionnaire was used for data collection. Purposive sampling technique was used in selecting the sample for the study. A total of 161 questionnaires were distributed to the respondents who comprised the professionals and Para-professional library staff from the university libraries under study and 115 questionnaire were retrieved and analyze using mean score, standard deviation, percentage and frequency counts. From the analysis of data collected, the findings revealed that increased access to library materials, effective preservation of library materials, improve library services, speedy retrieval of document and improving library visibility are the major purposes for digitization for library resources. However, the result shows that inadequate funding, high cost of purchasing equipment, inadequate skill personnel, erratic power supply, poor internet connectivity, copyright issues/management are some of the major challenges inhibiting effective and efficient digitization of library resources in academic libraries. The study recommended that alternative power supply, seeking for financial aid form donor organization, establishment of copyright management, and training and retraining of librarians to acquire all the relevant and up-to-date skills for effective digitization.