Netflix will Begin Blocking Subscribers from Sharing their Account Passwords Before April

(CTN News) – In the next months, Netflix will start prohibiting customers from disclosing their account passwords to anybody outside of their homes, the video-streaming firm said in a letter to shareholders last week.

Last spring, the streaming juggernaut made its first suggestions about intentions to limit household Netflix password sharing.

In Latin American nations, Netflix tested a paid version of account sharing where users could add a “sub-account” for an extra $3 per month.

Paid sharing will now be implemented “more generally later in Q1,” which concludes on March 31st.

Netflix expects cancellations

According to Netflix’s letter, “Based on our experience in Latin America, we anticipate some cancel response in each area when we roll out paid sharing, which reduces near-term member growth.”

“However, we anticipate better total income as borrower families start to activate their independent accounts and more member accounts are established.”

Why does Netflix want to end password sharing?

Multiple personalized profiles may now be established under a single Netflix account, but members of the same household must utilize them.

“While very well-liked, they have also led to some misunderstandings over the appropriate times and methods for sharing Netflix, according to Chengyi Long, Netflix’s director of product innovation, in a statement unveiling the paid share function last year.

“As a consequence, accounts are being split across households, affecting our capacity to spend on fantastic new TV and movies for our subscribers.”

How will Netflix detect password sharing?

According to Netflix, it can identify devices in a home using IP addresses, device IDs, and account activity. According to its existing policy, if a gadget is regularly used outside the home, users may be asked to authenticate it.

Netflix’s recent pricing changes

The extension of paid sharing comes one year after Netflix increased its fees, increasing the entry-level $8.99 monthly plan to $9.99 in the US.
In November, it launched a version of the service with adverts that required a $6.99 monthly membership.

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