Imcodávila, a newspaper publisher based on the outskirts of Madrid and boasting 200 titles to its name, bought Océ's Jetstream 2200 rather than make an investment in a new litho machine.
Up to 40 separate titles will be printed on the press - a mixture of dailies, weeklies and monthlies.
Daily print runs will begin at 6,000 80-page colour local newspapers, but the machine has the capacity to produce 24,000 a day.
Paul Krisson, the Océ's development manager for digital document services, said that UK publishers could follow suit now that one company has made the jump.
He said: "This is a major breakthrough for us, and for the newspaper industry. I see digital working alongside litho. It makes financial sense to print a limited number of titles on a digital machine. We have seen in recent years a move away from the micro-zoning section in newspapers.
"You could print a regional title on a litho press and still run at 80,000 copies an hour, but ultra-local inserts could be printed on a digital machine. You maximise efficiency of offset and digital.
"And, if it is financially viable in Spain it is financially viable. I think publishers in the UK should be talking to digital press manufacturers about what digital can do for them and we are engaged in discussion with a number of publishers."
Oc claims 'world first' as newspaper group upgrades to digital
A Spanish publishing group is to produce a range of local newspapers and magazines entirely on a digital press, described by Oc as the world's first short-run production site for domestic titles in colour.