["Business Ethics, the Environment &Responsibility, EarlyView. ", "\nABSTRACT\nThis study investigates how corporate digital responsibility (CDR) enhances artificial intelligence (AI)‐based partner relationship management to drive sustainable firm performance. Drawing on stakeholder, institutional and dynamic capabilities theories, data were collected from bank managers and analysed using partial least squares structural equation modelling (PLS‐SEM) and combined importance‐performance analysis (cIPMA) techniques. Results show that environmental, economic and technological digital responsibility strengthen AI‐based partner relationship management, which in turn improves sustainable performance, while social digital responsibility is non‐significant. Contrary to expectations, coercive and normative pressures moderate the link between CDR and AI‐based partner relationship management. cIPMA further reveals a necessity–performance paradox: AI‐based partner relationship management emerges as the most critical performance driver, yet all four CDR dimensions and all three institutional pressures are necessary conditions for achieving sustainable performance. This study contributes to the literature by highlighting the differentiated roles of CDR dimensions in shaping AI‐enabled dynamic capabilities for sustainable development.\n"]