Netflix Set To Crack Down On Users Who Share Passwords With Friends And Family
Anyone with a Netflix account knows that other people will attempt to use your account. Perhaps you've given your password to friends and family, or used a mate's password in times of boredom or hangover hell. Don't admit to it too quickly, though - you don't want your account closing.
Why would it close, you may ask? Well, simply, handing over your login details could land you in some difficult times because the streaming service has revealed plans to crack down on users who share passwords. Dun dun duuuun.
Chief product officer Greg Peters said that Netflix hopes to address password sharing without 'alienating a certain portion of [its] user base'.
Speaking at Netflix's Q3 2019 earnings interview last week, he said: "We continue to monitor it so we're looking at the situation. We'll see those consumer-friendly ways to push on the edges of that."
According to The Independent, when users share passwords, they are essentially sharing a single Netflix account, which naturally circumvents Netflix's business model, according to which each household needs to have its own account.
Users are already able to share accounts by setting up several viewing profiles on a single login (you're welcome, guys) but password sharing ramps it up a notch.
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According to Magid - a consumer-centred business strategy and custom research company - the password sharing problem might be a 'generational issue'.
The suggested that overall it may be only nine per cent of customers are sharing passwords but 35 per cent of millennials share passwords for streaming services - this is more than Generation X (19 per cent) and Baby Boomers (13 per cent) together.
Magid explained that 10 per cent overall might seem low but if you look at Netflix and their incredible 137 million customers, 10 per cent means 13.7 million people not paying $9.95 (£7.66) a month. That's over $135 million (£103.9m) in missed opportunities.
Not only is Netflix missing out on money but you're actually opening yourself up to the possibility of fraudulent activity.
Magid reports that sharing passwords is a risk to cyber-security that could even potentially result in identity theft via their other accounts. This is because many people use the same password across accounts.
This means that if some random has your password because you kindly gave it your mate over the phone one Sunday afternoon - chances are they've got the credentials to access your online banking if you use the same password.
*Changes password for everything*
Featured Image Credit: PA