Just how many of you have Netflix accounts of your own? Simply said, borrowing money from a friend, sibling, or sibling’s friend’s sibling instead of investing in your own account is more practical and cost-effective. But enough of that says the streaming app. You may soon have to pay to view your favourite TV series in HD, so say goodbye to free password sharing. Netflix free password-sharing likely to end by April.
In a letter to shareholders on Thursday, Netflix stated that it planned to “carry out paid sharing more broadly” later in the first quarter of this year. This means that it’s possible that you’ll have to start paying to access Netflix’s content by the end of March. After its initial warning about a crackdown on password sharing in July of last year, after its first subscriber loss in over a decade — 200,000 users — during the first quarter of 2022, according to Insider.
Netflix free password-sharing likely to end by April as the streaming giant argued that account sharing “undermines” its “long-term ability to invest in and expand Netflix” due to its wide reach, which affects over 100 million households. Although the rules of use already prohibited the use of an account outside of a single home, it was further stated that this was a change for users who shared their accounts with multiple people.
“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,” the shareholder letter read.
In some American regions where it costs $2 or $3 to add a member account for someone outside of one’s family, a shared password trial has already been carried out. Due to the additional fees, numerous Latin Americans cancelled their subscription. Netflix anticipates a short-term decline in engagement but an increase in overall revenue when borrowers start paying off their debts.
