Abstract Based on the panel data of 30 provinces in China from 2006 to 2018, this paper empirically tests the impact of Internet development level and knowledge spillover on China's regional innovation capability by using spatial econometric model. The study shows that in the national sample, both the level of internet development and knowledge spillover can significantly promote the improvement of China's regional innovation capability, which shows that the level of Internet development and knowledge spillovers between provinces are important driving forces for the improvement of regional innovation capability. At the same time, the improvement of the development level of the internet can significantly promote the innovation promotion effect of knowledge spillovers. In the sub-samples, on the one hand, there are significant differences in the promoting effect of Internet development level and knowledge spillover on China's regional innovation capability in different regions. The Internet development level and knowledge spillover in the eastern region have a significant positive effect on its innovation capability, while the effect in the central and western regions is not obvious. On the other hand, the effect of the internet on promoting regional innovation capability through knowledge spillover also has obvious regional heterogeneity, which plays a significant promoting role in the eastern region, but does not exist in the central and western regions. In order to enhance regional innovation capability, achieve the coordinated development of regional innovation and promote the development of the internet, we should also implement differentiated Internet innovation strategies according to the endowment conditions of different regions.