Purpose of this Paper - Networks are by now popular inter-organizational coordination modes. However, there is still much to know regarding how networks are governed and how their governance develops and changes through time. Design/Methodology/Approach - This paper addresses the research question how does the governance form of networks develops over time by empirically studying the European telecommunications regulatory network using a case study approach. Findings - We find that the network’s governance system is determined by the dialectical tension between network members (National Regulatory Agencies) and an external very influential body (the European Commission). This tension unifies the group in the classic external conflict-internal cohesion fashion. We also identify a second dialectical tension internal to the network among its members. The tensions are triggered by evaluations carried out by an external actor (the European Commission). In general, the process observed confirms the propositions that predict a formalizing of the governance as the network grows older. Research limitations/Implications - This research is based on a single case, a broader analysis of other regulatory networks among network industries at the European Union level will help researchers to establish a more comprehensive picture on the development of the governance form of this specific subset of goal-directed networks.