For over a decade, Netflix has dominated the video streaming industry. However, recently they have recorded a massive dip in the audience and paid subscribers. The rise of Disney+ and the decline forced the company to impose some strict regulations for preventing password sharing –a headache for the company.
It not only leads to a decrease in revenue but also allows certain users to go around the paywall, which keeps the company going.
Netflix’s all-new feature
Netflix is now testing new ways to prevent password sharing by asking users in certain countries to purchase an additional home. The initial reports from Bloomberg suggested that Netflix users in El Salvador, Argentina, Dominican Republic, Honduras, and Guatemala might begin seeing an anti-password sharing test.
A Netflix support page in Honduras provides details about prompting certain users to pay an extra fee if they attempt to log into a Netflix account on a TV-connected device or TV at a particular location outside the primary household for more than two weeks.
If they want to continue using the services two weeks afterward on a new device in any other location, they need to buy an extra home that can cost around an additional 219 pesos ($1.17) per month for each home in Argentina. The users operating the Netflix basic plan can add an extra home. The Netflix Standard plan will let users add two additional homes while the Premium subscribers can add around three.
In the test countries, subscribers will only get one primary home where they can access Netflix on any device. They can also travel and use the video streaming services on mobile devices and laptops, but the test will require them to pay for an extra home to use the service on the TV screens.
Subscribers can choose not to purchase the additional home and continue to watch Netflix on particular mobile devices. Netflix will block TV access until an extra house is purchased.
The Netflix support page will provide details about the change as part of the test. Netflix revealed that it uses various information such as the device’s IDs, IP addresses, and account activity to determine whether the subscriber is using the device inside their house. The streaming service is working on launching a feature that lets users in test countries track their account usage (location) and block or restrict access.