Net neutrality and innovation at the core and at the edge. The

Net neutrality is a hotly debated topic. A key point is the treat-ment of the data by internet providers: as users are a¤ected by the waiting times of data delivery, internet providers have an incentive to o¤er content providers di¤erent priorities. Net neutrality regulation does not allow prioritization. We study the e¤ect of regulation on the incentives to innovate of content and service providers. In the short run, regulation increases content provision at the edge by a fringe, while it decreases the number of applications of a large provider. In the long run, the internet provider adjusts capacity to maintain con-stant the average waiting time. Regulation leads to lower supply of capacity and overall content, although it fosters entry of new content providers