The Smugglers' Alliance represented a union of individuals involved in smuggling and mercenary activities. This group, under the leadership of Talon Karrde, was formed to capitalize on the power vacuum resulting from the weakening of the Galactic Empire and received backing from the New Republic.
Following the events of the Battle of Yavin, various illicit organizations collaborated to create what became known as the Smuggler Alliance. Led by Talon Karrde, originating from the Car'das smugglers, its membership also encompassed Dravis of Billey's smuggling operation, Shamdon Kree representing the Valarian Syndicate, Beissa from Jabba the Hutt's criminal empire, and Nirame Sakute of the Lok Revenants. In the year 1 ABY, the Smuggler Alliance enlisted numerous independent pilots, forming a starfighter squadron to safeguard the Alliance's interests. Furthermore, this Smuggler Alliance maintained connections with the Rebel Alliance, with its pilots occasionally undertaking missions for Rebel Admiral Willham Burke.

The origins of the Smuggler's Alliance can be traced back to the informal group of prominent smugglers brought together by Karrde on Trogan. Their initial purpose was to assist the New Republic in defending against the attacks led by Grand Admiral Thrawn. After playing a pivotal part in the defeat of Thrawn's forces at the Battle of Bilbringi, this collaborative effort evolved into a structured alliance. This formalization was aided by Sian Tevv, who successfully convinced the New Republic Provisional Council of the value that independent spacefarers could bring.
During the peak of the Imperial Civil War, Palpatine orchestrated the capture of Mara Jade, a former Imperial assassin. Jade had severed ties with the Empire and blocked the Emperor's telepathic influence after assassinating a clone of Luke Skywalker in 9 ABY. Following Jade's capture on a Smuggler's Alliance mission in the Senex sector, [Lord Cronal](/article/cronal] imprisoned her. However, she was eventually rescued by New Republic forces under the command of [Kyle Katarn](/article/kyle_katarn], who later became her mentor.
For a period exceeding fifteen years, the Smugglers' Alliance and the New Republic maintained a mutually advantageous partnership. Mara Jade served as a liaison until her marriage to Luke Skywalker and subsequent relocation to Yavin 4. The smugglers furnished the New Republic with intelligence and essential supplies in conflict zones, while the New Republic supported the smugglers' legitimate operations within its territory and granted them freedom to engage in smuggling activities within enemy-controlled space.
The Yuuzhan Vong War in 25 ABY significantly impacted an alliance that had already been weakened by the Pellaeon–Gavrisom Treaty, which reduced the areas where smugglers could operate freely. In the initial stages of the invasion, smugglers were involved in transporting supplies, weapons, and refugees to and from various worlds. As confidence in the possibility of defeating the extragalactic invaders diminished, some smugglers chose to join the Peace Brigade and offered their services to the Yuuzhan Vong in the hope of gaining favor.
However, numerous smugglers recognized the true nature of the Yuuzhan Vong and aligned themselves with the New Republic. A small fleet comprised of smugglers and other individuals, including Lando Calrissian aboard his Lady Luck and Booster Terrik commanding his Star Destroyer Errant Venture, collaborated to support the New Republic forces during the Battle of Ebaq 9. Han Solo led the smuggler fleet from the Millennium Falcon, employing innovative and unconventional tactics to attack the massive Yuuzhan Vong fleets. Despite incurring substantial losses, the smugglers successfully provoked the Yuuzhan Vong. When the aliens turned their attention towards Ebaq 9 to attack the Jedi and Republic forces concealed on the moon, the smugglers positioned themselves in their path, delaying their advance and providing crucial time for those in hiding to reach fortified positions.
The year 29 ABY marked the Battle of Yuuzhan'tar and a significant turning point for the Smugglers' Alliance. The demand for illicit goods plummeted as the scarcity of spice compelled users to confront their addictions, and economies experienced disruption. In response to this situation, the leaders of the group declared their intention to become respectable, repurposing their cargo fleets for legitimate use in the reconstruction of Galactic civilization. Karrde jokingly referred to the organization as the "Ex-Smuggler's Alliance".
This did not signify the complete dissolution of the Alliance, but rather indicated that its members were seemingly transitioning towards becoming former smugglers.
Within the MMORPG Star Wars Galaxies, the Smugglers' Alliance is featured as one of three squadrons that freelance pilots have the option to join. This suggests that an earlier iteration of the Smugglers' Alliance existed as early as 1 ABY.