Drawing on the extant research of business models, this paper distinguishes and quantifies business models according to sources of value creation and empirically studies on the moderating effect of business model on the relationship between technological innovation and profitability based on the sample of hightech listed companies on the Chinese GEM from 2009 until 2011. It concludes that business models play important moderating roles in the relationship between technological innovation and profitability. But some difference exists in different business model contexts. Noveltyoriented business model significantly and positively enhances the relationship between technological innovation and profitability, while efficiencyoriented or noveltyefficiency oriented business model plays little moderating effect on this side. This study has implications for business model design and innovation of Chinese technological startups.