This paper is motivated by the contradiction found in the literature about the arguments for EDI use and its effects on strategic benefits. The contradiction in the literature reflects a gap between theory and practice. In this paper, we start filling the gap by focusing on time- based competitive advantage, a subset of the potential strategic benefits, and by addressing the following research questions: What is the role of EDI in time-based competitive advantage for buyer-supplier alliances? Under what conditions does the EDI initiator build a sustainable time-based competitive advantage?