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Netflix crackdown on password sharing could be coming sooner than you think

Netflix crackdown on password sharing could be coming sooner than you think

Netflix viewers who share their passwords with others will be given a new option.

Netflix has revealed when its crack down on password sharing will come into effect.

The streaming giant announced the news that countless freeloaders have been dreading in a letter to shareholders this week, following the release of its company earnings report last week.

According to the company, ‘widespread account sharing’ has exceeded over 100 million viewers and the crackdown comes after the service announced back-to-back subscriber losses last year.

In the first quarter of 2022, the company’s customer base fell by 200,000 subscribers.

Password sharing is set to end in March.
Marcel de Grijs / Alamy Stock Photo

However, there is a way for those who have been enjoying shows like The Crown, Squid Game and Bridgerton to continue doing so by transferring their profiles to a new paid account with all of their viewing preferences.

"While our terms of use limit use of Netflix to a household, we recognise this is a change for members who share their account more broadly,” Netflix said in the letter.

“As we roll out paid sharing, members in many countries will also have the option to pay extra if they want to share Netflix with people they don’t live with. As is the case today, all members will be able to watch while travelling, whether on a TV or mobile device.”

Netflix acknowledged that the change could lead to some people cancelling their accounts altogether when the crackdown possibly comes into force by the end of March 2023.

People will be offered the chance to set up their own accounts.
Aleksandar Ilic / Alamy Stock Photo

“As we work through this transition – and as some borrowers stop watching either because they don’t convert to extra members or full paying accounts – near term engagement, as measured by third parties, like Nielsen’s The Gauge, could be negatively impacted.”

LADbible has contacted Netflix for comment.

A trial was carried out in Latin America last year as the streaming service explored ways to stop piggybackers.

“We believe the pattern will be similar to what we've seen in Latin America, with engagement growing over time as we continue to deliver a great slate of programming and borrowers sign up for their own accounts,” the statement continued.

People in the same household don't have to worry about the change.
PhotoAlto / Alamy Stock Photo

Password sharing has been a bee in Netflix's bonnet for quite some time now.

The streaming service identified password sharing as a major issue back in 2019 but didn't know how to tackle it without putting people off, according to The Wall Street Journal.

After all, their aim in cracking down on people sharing around passwords is to get more subscribers signed onto their platform, not to drive away those already forking over a few quid each month.

In an effort to attract more paying subscribers to the service, the company has introduced a cheaper subscription tier with adverts, however, this has had the unfortunate consequence of some viewers not being able to watch certain shows because they have licensing restrictions.

Featured Image Credit: Shutterstock

Topics: TV and Film, Netflix, News