Netflix warns of cracking down on password sharing in 2023
The world’s largest streaming company estimates that up to a third of users share their passwords with extended family or friends in other households, in violation of its rules.
It has begun testing an option in South America that would allow users who share another household’s account to pay a reduced amount to retain access to the service.
Under this system, anyone not present at the main account holder’s IP address must enter a code to continue watching in order to migrate persistent non-household watchers to their own plan.
Major streaming services have raised their monthly subscription prices sharply over the past two years. Netflix’s 4K family option is now €21, while Apple recently increased the price of its Apple TV Plus streaming service from €5 to €7 per month.
The biggest services have mostly turned a blind eye to sharing passwords on accounts as the sector has grown rapidly.
However, growth in new subscriptions across major platforms is now slowing significantly, with Netflix itself reporting flat numbers for the first time over the past year.
“Make no mistake, I don’t think consumers are going to love it the first time,” Ted Sarandos, Netflix’s joint CEO, told investors in early December, the Wall Street Journal reported.
Netflix recently introduced a new ad-supported tier to its service at a reduced price, although this has yet to be rolled out in Ireland.
Netflix’s warning comes as Britain’s Intellectual Property Office warned this week that sharing streaming passwords is illegal under copyright law and could face criminal prosecution.
https://www.independent.ie/business/technology/netflix-to-begin-crackdown-on-password-sharing-42238066.html Netflix begins crackdown on password sharing