After starting the year at No 103 in the ATP Rankings, the 19-year-old finished the season at No 11 on the back of winning three ATP singles titles, including his maiden Masters 1000 trophy in Paris.
Rune beat off competition from Jack Draper, Jiri Lehecka, Ben Shelton and Chun-Hsin Tseng to the award.
The Dane reached his maiden top-level final at the Bavarian Championship in April, defeating top seed Alexander Zverev en route to lifting the trophy.
He then beat the likes of Denis Shapovalov and Stefanos Tsitsipas during his run to the quarter-final of the French Open, but it was the end-of-season indoor hard-court campaign where he had the best results.
The teenager finished runner-up at the Sofia Open before he again beat Tsitsipas - this time in the final - to win the Stockholm Open and then claimed another runners-up title at the Swiss Indoors.
Rune's best run came at the Paris Masters as he defeated Stan Wawrinka, Hubert Hurkacz, Andrey Rublev, Carlos Alcaraz, Félix Auger-Aliassime and Novak Djokovic en route to lifting the biggest trophy of his career.
He climbed into the top 10 of the ATP Rankings for the first time, but dropped one spot in the year-end rankings.
"I'm super happy that I've been awarded with Newcomer of the Year, this means a lot," the Dane said of his award.
"I've worked very hard the whole year to do as good as possible, and it's really nice to see that my colleagues [voted for] me, so it means a lot. I just can't wait for 2023, and it's going to be hopefully another great year."
His end of season form, which saw him win 19 of his final 21 matches, helped him to finish the campaign with a 39-24 win-loss record.
Rune has already set his sights high for the 2023 season as he is targeting a Grand Slam title.
In a recent interview, he stated: "I have not made plans for 2023 yet. I will sit with my coach after my holidays and we will go through it. But I know what I want. I want to win Slams. I won an ATP 250, reached an ATP 500 final and won a Masters 1000. It's time for a Slam win."