Rural areas in Europe, while characterised by a diversity of landscapes, cultures, and traditions, face common challenges: depopulation, limited access to public services, and climate and economic challenges. These are global challenges. In response, the EU implements policies for sustainable rural development, including through the Common Agricultural Policy (CAP), which serves as the foundation of support for farmers and rural areas. A new element in supporting rural development in the EU is the concept of “smart villages,” based on leveraging local resources, technological innovations, and community engagement. Smart villages align with key European initiatives such as the European Green Deal and the Long-Term Vision for Rural Areas by 2040. This article focuses on analyzing the concept of smart villages and its significance in enhancing the resilience of European rural areas, with a particular emphasis on Poland. It examines the evolution of the concept and its role in EU policies and presents specific examples from Poland that demonstrate how innovative approaches can contribute to the development of local economies. The initiatives analyzed provide evidence that integrating modern technologies with traditional agriculture and local resources can improve the quality of life in rural areas and increase their attractiveness to younger generations. The analysis findings indicate that the development of smart villages requires long-term financial support and coordinated actions across various administrative levels. The analysis is based on EU documents, Eurostat data, and case studies, providing a comprehensive perspective on the opportunities and challenges of implementing smart villages in rural development. Smart villages can become a catalyst for change, leading to more cohesive, sustainable, and resilient rural development in Europe and globally.