In this paper, we expose how managers within one industry leverage cross-border interorganizational collaborations to create a new radical business model for the European GPS navigation industry. Based on an inductive case study of an automotive GPS navigation company, we develop an emergent theory of how organizations use cross-border interorganizational collaborations to develop new business models. Our preliminary findings suggest that organizations enact 3 practices: activation (clash between familiar and unfamiliar knowledge), blending (socially constructed projection of the future), and calibration (alignment of interests among international partners). These practices enabled the co-creation of a pioneering radical business model involving four distinct but highly complementary international partners. This study provides preliminary insights on a theory of business model innovation via cross-border interorganizational collaboration. More broadly, we help open up organization theory to a fresh conceptual lens—the business model—that highlights how organizations work and create value through international collaboration.