The companies say the deal will improve the viability of satellite services in an industry now dominated by streaming providers.

The deal would provide a loan to Dish parent EchoStar Communications and also prompt the departure of AT&T from its ownership of DirecTV.

DirecTV’s proposed takeover of rival Dish is an admission that the satellite-TV business is fading. Chief Executive Officer Bill Morrow has big ideas about what could come next.

DirecTV and Dish have agreed to merge. The combination will create the biggest traditional pay-TV service at a time when streaming dominates.