Purpose: Due to the current financial and managerial difficulties that are encountered by libraries in public universities in Jordan and the geographical diffusion of these academic institutions, the idea of establishing a consortium was proposed by the Council of Higher Education to combine these libraries. This article reviews the reality of establishing a public university libraries consortium in Jordan through answering the following questions: (1) What are the reasons and motives for establishing a consortium?; (2) What are the potential problems and challenges facing the library members when establishing a consortium?; and (3) Where the benefits regarding the economics of knowledge management achieved by the consortium? Design/Methodology/Approach: Using a Descriptive Method of research, this case study examines the initial goals for establishing a consortium related to the benefits achieved four years after the consortium was launched. Findings: The consortium enriches the digital governmental university libraries network with information sources through a sharing mechanism. This mechanism allowed for the consortium to coordinate database subscriptions and to act as a lobby group when dealing with library vendors in an attempt to economize in subscription costs. Originality/Value: The paper focuses on the benefits of developing a library consortium and establishing procedures as a road map for other libraries especially in developing countries. (Contains 3 tables.)