Abstract:How to promote the integrated innovation of the upstream and downstream of the industrial chain and improve the innovation capability of the whole industrial chain are important prerequisites for the modernization of the industrial chain. In the digital era, it is worth studying whether the industrial chain is embedded in the industrial Internet platform and how it affects the integrated innovation of the industrial chain. This paper established an evolutionary game model of cooperative innovation of upstream and downstream enterprises in the industrial chain embedded in the industrial Internet platform and analyzed the integration mechanism of industrial Internet on the innovation of industrial chain. It was found that the factors affecting the upstream and downstream integration innovation in the industrial chain can be summarized as driving factors, blocking factors and regulating factors. After the industrial chain is embedded in the industrial Internet platform, the effect of driving factors is more obvious, the negative effect of hindering factors is weakened, and the threshold range for regulating factors to play a positive role is larger. Overall, embedding the industrial Internet platform is conducive to promoting industrial chain integration and innovation.