This study is a follow-up on the the implementation of a business model, which was created in a co-creation process between two universities and an established SME specialized in monitoring municipal and industrial water distribution systems.. A shared collaboration sustainability innovation project between two universities and SME company on research, development and innovation context results was analyzed. A product was innovated for water systems monitoring service's needs and generated from two universities and SMEs shared RDI pilot. Authors elaborate findings for commercialization possibilities success factors and challenges for the co-creation concept. Evaluation criteria used are implementation feasibility and environmental & economical value. InTo tool is utilized for after commercialization phase to evaluate business model in this case study. Literature review focuses on collaboration enhanced sustainability innovations, which is used as comparison frame. Authors suggest efficient actions for collaborative innovation and hurdles to stay away for smooth environmental area innovation commercialization.