Worldwide, universities are proactively searching strategic partnerships in achieving their third mission of socio-economic development besides its core function of teaching and research. Universities are facing new challenges to develop entrepreneurial ecosystem. The problem persists with fact that majority of universities are lagging behind to fully understand and establish entrepreneurial ecosystem. The current study investigates the role of university incubators in developing an entrepreneurial ecosystem. In this study, university-based incubators in Pakistan are analyzed using case study method. The results of the study suggest that university-based incubators stimulate an entrepreneurial ecosystem having an integrated network with all stakeholders.