Based on the data spanning 2010 to 2022, this study delves into how banking competition impacts the efficiency of enterprise science and technology innovation by lowering credit costs, enhancing credit availability, optimizing credit allocation, and offering empirical evidence for the significant role of banking competition in influencing corporate technology innovation efficiency. This paper concludes that increased competition in the banking sector notably impacts corporate technology innovation efficiency. Banking competition alters the traditional relationship-based lending model, enhancing banks' ability to assess risks and support innovative projects by enterprises, encouraging enterprises to enhance innovation quality and boost research and development investments, leading to a learning curve effect on innovation and enhancing the efficiency of technology innovation. Mechanism analysis reveals that credit financing plays an intermediary role. Competition in the banking sector leads to lower costs and increased availability of bank credit for research and development in enterprises. It helps address the issue of limited finance for innovation in enterprises, encourages larger-scale innovation, and enhances innovation efficiency. Banking rivalry has a role in enhancing corporate technology innovation efficiency, which is influenced by the environment to a certain extent.