Netflix Cracking Down on Password Sharing

Netflix Cracking Down on Password Sharing

March 29, 2022

Netflix has had a love-hate relationship with password sharing for years. It's allowed users to share passwords and at one point even made social media posts endorsing password sharing. Now, however, with subscriber growth slowing and inflation making everything more expensive, the company is trying to navigate its way around even higher price increases. Its solution? Charging users extra for the right to share passwords.

Free Password Sharing May Come to an End at Netflix

Last week, we learned that Netflix plans to crack down on password sharing. The company has a history of trying to prevent users from abusing its service in various ways, including its notorious attack on VPNs. AS reports have indicated in the past, password sharing costs Netflix and other streaming service providers millions of dollars each year in lost potential revenue. Netflix has put up with the cost for years, but economic times have pushed it against a wall.

1. What Is Netflix Planning with Password Sharing?

For starters, Netflix is sending

to people sharing passwords for accounts outside the host's IP address. Those messages inform streamers to create an account with the statement:

"If you don’t live with the owner of this account, you need your own account to keep watching."

However, that's just the beginning. Starting with a select few countries (and not its major markets, for what it's worth), Netflix will require customers who want to share passwords to create paid sub accounts for up to two people. The cost will hover around $3 USD per sub account. Effectively, sub account users will get all the benefits of an individual paid account at a heavy discount.

2. How Are Users Responding?

People are responding exactly as you'd expect they would. Many Netflix users on Twitter appear to be having an absolute melt-down. You don't have to dig hard to find threats of canceling Netflix. The question, of course, is whether people will actually make good on their threats and cancel Netflix if they're asked to pay to use a friend or family members' account for whom they don't live with.

3. When Will US, Canada, and UK Users See Changes?

There's no telling when Netflix will bring these changes to its biggest markets. Much of that will depend on the response the service experiences in the smaller markets where it's testing paid sub accounts. If the customer bleed is too high, it may change its approach. Given the amount of competition the service now has from the likes of Disney+ and HBO Max, Netflix will need to tread lightly.

This Week's Streaming Guide

1. True Crime Texting-Suicide Limited Special Launches on Hulu

The true story of Michelle Carter's "texting-suicide" case, available TODAY (Mar. 29) on Hulu. -

  2. History Channel Explores 'The Lost Gold of the Aztecs' 

Where did the incredible and storied gold of the Aztecs go? Learn more on this History Channel special TODAY (Mar. 29) at 10 PM ESt. -

  3. Disney+ 'Moonlight Knight' Series Premieres 

The newest Marvel superhero makes its introduction in Marvel's Moonlight Knight. Stream on Disney+ this Wednesday (Mar. 30). -

4. HBO Max 'Moonshot' Takes a New Approach to RomCom

Would you travel to Mars for love? That's the premise in the new HBO Max sci-fi romcom 'Moonshot'. -

News and Industry Developments

1. This May Bet the Year Netflix Finally Wins Best Picture

The acceptance of Netflix as a quality content producer has been changing as the company brings in big-name talent. This may be the year that gamble pays off. -

2. YouTube TV Now Offering 4,000 Episodes of TV Free with Ads

No YouTube TV account needed, no payment required. -

3. Disney+ Updated 'Moon Knight' Rating from 12+ to 16+

The Rating update reflects the company's adoption of adult-themed content recently. -

4. The Sling TV App Is Now Available on Amazon Echo Show

This makes Sling TV the most versatile app around. -

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