There has been a growing research interest in understanding knowledge sharing in agile development. Yet, empirical research that sheds light on its underlying practices, such as pair programming, is evolving. This study uses insights from coopetition and software literature to focus inquiry on the relation between coopetitive rewards and high-quality knowledge sharing in pair programming teams. Theoretical hypotheses are developed and validated, suggesting that: ‘coopetitive rewards influence high-quality knowledge sharing both directly and over time through their impact on the level of knowledge sharing satisfaction’, and, ‘the impact of coopetitive rewards on high-quality knowledge sharing is dependent upon task complexity and the history of working under similar reward structure’. This study generates new understanding related to the use of rewards in pair programming teams, and offers a rigorous and replicable seven-step experimental process for simulating coopetitive structures and investigating their role in pair programming and in similar collaborative contexts.