(CTN NEWS) – Crackdowns on password sharing are becoming increasingly common in the world of streaming, and Disney Plus is now following suit.
In an email sent to its users in Canada earlier this week, Disney announced new restrictions on the sharing of account credentials among Canadian subscribers.
According to the updated Canadian Subscriber Agreement for Disney Plus, users are now prohibited from sharing their subscription with individuals outside their own household unless expressly permitted by their account tier. Violations of this policy may result in Disney Plus limiting or even terminating the service.
The term “household” is defined as the set of devices associated with a subscriber’s primary residence and used by the individuals residing there, as explained in the streamer’s help center.
Implementation of Password-Sharing Restrictions and Other Changes on Disney Plus in Canada for 2023
These password-sharing restrictions are just one part of several updates to Disney Plus’ Subscriber Agreement that are scheduled to take effect for the majority of Canadian users on November 1st.
Annual subscribers in Quebec may experience the changes at a later date, depending on their billing cycle.
Users who switch their plan before November 1st will see these updates applied immediately, as stated in the email sent this week.
As previously announced in August, November 1st is also the launch date for Disney Plus to introduce ad-supported subscription tiers in Canada and select European markets. The ad-supported tier has already been available in the United States since December 2022.
It remains uncertain whether similar household restrictions will be implemented beyond Canada. When contacted by The Associated Press, a Disney Plus spokesperson did not provide further details.
Disney CEO’s Commitment to Streamline Services and Combat Password Sharing
During an earnings call last month, Walt Disney Co. CEO Bob Iger made a commitment to make its streaming services profitable.
This includes a planned price increase in October for its ad-free Disney+ and Hulu plans in the U.S. and an ongoing effort to crack down on password sharing, which is expected to continue into the next year.
Iger did not divulge specific details about the password-sharing crackdown but suggested that Disney could see benefits from these measures in 2024.
However, he also noted that the work might not be completed by that year, and it is challenging to predict how many password sharers would transition to paid subscriptions.
It’s worth noting that these new streaming restrictions are not unique to Disney, as other streaming services like Netflix have also taken steps to curb password sharing.
In the U.S., for instance, viewers who share passwords are now required to open their own accounts unless a subscriber with a standard or premium plan agrees to pay an $8 monthly surcharge to allow more people from different households to access the service.
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