Sky has revealed plans for 1,000 job losses, about 4% of its workforce in the UK and Ireland, this year.
The company, which owns Sky News and is one of Europe's leading media and entertainment providers, said that its engineer teams would be worst affected and consultations had begun.
A review into its business structure found less need for satellite specialists as more customers pivot to digital-only services.
A spokesperson for Sky said: "The launch of Sky Glass and Sky Stream represents a shift in our business to deliver TV over IP (an internet connection) rather than satellite.
"Increasingly, customers are choosing Sky Glass and Sky Stream which don't require specialist installation, and that has led us to change the number of roles we need to deliver our services."
Sky was unable to say, at this stage, what other roles may be affected as the 1,000 figure was not finalised and could come in lower.
Sky said that it remained committed to its satellite customers and services but signalled that the numbers of engineers needed for specialist servicing and installations had dwindled as customer habits had changed.
It is understood that around 80% of Sky Stream customers are new to the company.
Sky Glass, its integrated TV platform, has also enjoyed strong growth with the medium-sized screen becoming the UK's top seller in 2023.
Sky, which is owned by US giant Comcast, announced the job losses at a time when competitors are also shedding jobs, amid wider pressure on budgets in the tougher economy.
Channel 4 confirmed just this week that it was to reduce its headcount by 15% and sell its London headquarters.