DirecTV is reportedly in talks with Walt Disney Co. to license the rights to offer Disney's cable channels and broadcast as part of an Internet-based service, according to the U.S.-based company.
The deal would mirror an agreement announced earlier this week between Disney and DirecTV rival Dish Network Corp.
The rights being discussed are part of a large programming agreement that would replace the current deal between the two companies.
The current deal is set to expire in late December, according to Reuters.
Discussions have been made between the two companies, but the timing of the new deal has not been confirmed.
"The deal and terms are not unexpected as the Dish contract was the most recent in the Disney timeline to expire," DirecTV spokesman Darris Gringeri said on March 5, according to Reuters. "The DirecTV contract is up next and we're in the process of working with Disney on a similar long-term agreement of our own."
A new deal could give both companies an additional source of revenue since consumers have been switching to online video services like Netflix more the past couple of years.
The deal between Dish and Disney marks the first time that a U.S. TV operator has been given the opportunity to offer its content outside of a pay TV subscription.
Users will be able to access content through smartphones, tablets and computers, according to Reuters.
Disney will allow Dish users to stream content from ABC broadcast stations as well as cable channels, such as ABC Family, Disney Channel, and ESPN.
DirecTV, has approximately 20.3 million subscribers, whereas Dish, which has 14.1 million subscribers.
A Disney spokesman declined to comment on the deal.
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