Governments must ensure the sustainability of public goods in the face of evolutionary pressures: increasing private market power, escalating resource constraints and heightening consumer expectations. Research has demonstrated that organizational networks can be used to drive and shape markets but that institutionalized norms, values, and practices can block market change. I ask how governments can use networks to shape markets by proxy, complementing direct regulatory intervention. I draw on organizational networks literature, institutional theory, and longitudinal empirical evidence to examine government efforts to form a new interorganizational network to challenge institutional norms in Ireland's eHealth market. I identify three key processes that governments engage in when using networks to influence institutional change in evolving markets: empowering institutional challengers, reconciling competing institutional logics, and bridging policy and practice