Virgin Media and BT have come together to support pay TV market changes put forward by Ofcom.
The broadband and digital TV providers have submitted a document to the communications regulator in which they back plans that would see the Ofcom control the pricing structure used by Sky to sell its sports and film channels to other companies.
According to the report, which has been seen by the Sunday Telegraph, the move would boost competition and innovation in the market.
"[It] will enable each platform to compete based on its different strengths, and products to be developed which appeal more closely to the preferences of different groups of customers," it explained.
"Those who do not want or cannot have a satellite dish will not need one."
Last month, Sky described Ofcom's proposals as both "extreme and unprecedented", adding that the plans could even breach competition law in the UK.