Netflix’s free password sharing is coming to an end: in about two months, Netflix will begin charging accounts for password sharing, setting up a system that charges extra fees for “additional members” sub-accounts. supplement” when people outside the household use the subscription.
After years of relative laxity in password sharing, Netflix last year began experimenting with ways to “monetize account sharing” after suffering its biggest loss in subscriber numbers. in a decade. In addition to the password-sharing fees, Netflix has also rolled out cheaper ad-supported subscriptions, hoping to entice more people to pay if they don’t have to pay as much.
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Netflix’s dominance in streaming video — not to mention years of relentless subscriber growth — has caused nearly every major Hollywood media company to spend billions of dollars on streaming operations. their own line. This so-called streaming war has sparked a wave of new services, including Disney Plus, HBO Max, Peacock, Paramount Plus and Apple TV Plus. These multitude of streaming options have complicated the number of services you have to use (and often pay for) to watch your favorite shows and movies online.Now, feeling the heat of increasingly stiff competition, Netflix is pursuing strategies it has rejected for years, including cracking down on account sharing.
How much does it cost to “share premium accounts”?
The company does not yet have specific prices for these new fillers. But the royalty system has been rolled out in Chile, Costa Rica and Peru as an experiment. In these countries, the average fees are about a quarter of the price of the Standard plan.
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If Netflix followed this practice, each additional US membership sub-account would cost around $3.50 to $4, but a fairly wide range was tested. For example, if US fees follow Chilean fees, sub-accounts will cost up to $4.43.
When will Netflix start cracking down?
Last week, Netflix said it would start rolling out account-sharing fees before the end of March and that the global rollout would take several quarters. The company also says the rollout will be gradual across all of its markets: Netflix won’t start charging everyone globally at once, like flipping a switch. Instead, it will start at some selected location and start from there.
He did not say which country will be the first or exactly how long it will take for the new fee to be fully rolled out globally. “We’re ready to roll them out later this quarter. We’ll scale that up a bit as we work on country sets,” Netflix co-CEO Greg Peters said last week. “But we’ll really see that happen in the next two quarters.” How will
Netflix apply these fees?
Netflix did not detail how it will enforce paid password sharing once the fee is rolled out widely. Its application in testing in Latin America is varied, according to one report. Netflix’s help center pages say the service detects account outbreaks by checking IP addresses, device IDs, and account activity from devices signed in to the same account.
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Netflix states that if your account is repeatedly viewed from a location outside your household, or if someone logs into your account from a device not associated with your household, Netflix may ask the correct account owner for verification. To do this, Netflix will send a link to a four-digit verification code to the email address or phone number associated with the primary account. This code must be entered into the device within 15 minutes or you will have to request another code.
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