Although product convergence became the prevailing paradigm, our understanding is limited because of the small number of studies. We examine how a firm's resource base and recombinant capability affect market performance for convergent products using mobile phone market data for the United States. We find that a firm's resource base explains why a firm whose resource base is related to the base product (mobile phone) achieves better market performance for the convergent product (camera phone) than a firm whose resource base is for the additional product (camera). Moreover, recombinant capability-defined as the ability to combine resources and capabilities previously distinct-is a significant factor that enables firms whose performance previously lagged to catch up to that of the leaders in the convergent product market.