Netflix is cracking down on password sharing harder than it ever did. A decision that stems from the fact that the streaming service is losing paying subscribers. Anti-Password sharing drive sounds unpleasant but Netflix is testing it out in three locations in Latin America.
Netflix is pushing a notification to some users informing them about the password sharing laws and how it affects the company. Many users have received such notifications and ignored them. They haven’t faced any disruption in the streaming service’s accessibility.
Netflix password sharing and its repercussions
The rest of World did detailed research on how the anti-password sharing drive began in Peru. They obtained information about users from Peru, Chile, and Costa Rica in March. These users received notifications about an extended fee to share passwords outside their households.
Netflix promoted password sharing as a practice to acquire more subscribers and gain dominance in every household. But they later realized that paying users interpret the term “household” differently from what the company imagined.
Even the company employees aren’t clear about what the term “household” means. Rest of World spoke to a customer support executive who would provide verification codes to subscribers. If any subscriber asks customer support to open access to the account for a member who is in another location, they have to send the verification code.
Netflix describes households as family members living in one location, which could be a house or a building. Clearly, this imposes a lot of restrictions on how users can share an account. But Netflix doesn’t state anything about sharing passwords with members who live outside or far away from home.
Meanwhile, Disney Plus is aiming to gain subscribers by introducing a cheaper ad-supported plan. What do you think of Netflix’s approach to password sharing? Will you migrate to Disney Plus? Share your thoughts in the comments.