Summary: Under the background of mixed ownership reform and “Internet Plus”, the cooperation between traditional enterprises and Internet companies becomes the trend. By using game model, the cooperation strategy between telecom companies and Internet companies is studied in this paper. Firstly, the cooperative innovation evolutionary game model is constructed. Secondly, the parameters such as cost, income and contribution coefficient are analyzed. Finally, liquidated damages are introduced to guide the system to the Pareto optimal solution. Research shows that reasonable parameter settings, income distribution mechanism and liquidated damages help to ensure the system optimality.