The paper studies the regulation effect of the TMT interlocking network on the shareholder incentive. The TMT interlocking network could lead to two different effect on the shareholder incentive: one is the dividend bandwagon effect; secondly, the knowledge competition effect. Using A shares 2012-2014 biological medicine listed companies panel data to test, the main conclusions are as follows. Firsdly the short-term incentive effectiveness of shareholders is significant; Secondly TMT chain network has a positive moderating effect on the effectiveness of short-term incentive; Thirdly the long-term incentive effectiveness of shareholders is significant; Lastly TMT chain network has a negative moderating effect on the long-term incentive effectiveness of shareholders.