Pay-TV operators are seeing a "slow erosion of the core business," analyst Brett Sappington at Parks Associates said.

"After years of attempts to be more than just a 'dumb pipe,' pay-TV operators have come to realize that a smart, flexible pipe can similarly transform their businesses," he said in a recent research note.

From the article "Merger For New Media Era Or A Bad Remake?" by www.finance.yahoo.com

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