The significance of net neutrality in internet regulation lies in its principle that all internet traffic should be treated equally. It prohibits internet service providers (ISPs) from discriminating against or charging differently by user, content, or website. Without net neutrality, ISPs could prioritize their content over competitors' or implement pay-for-priority schemes, potentially stifling innovation and limiting user access to diverse information. This regulation is essential in ensuring an open and fair internet experience for all users.