Netflix shares the details of its new account-sharing crackdown that is coming soon—and how it plans to profit from it.
- Netflix has estimated that more than 100 million users worldwide are using someone else’s account to enjoy the popular streaming service.
- To stop account sharing and boost revenue, the company is beginning to crack down on account sharing by charging members outside of a household to use the same account.
- The Netflix Help Center now has a page dedicated to frequently asked questions about the upcoming rule change to give more details to users.
Why it’s news
Netflix is cracking down on password sharing as the company announced a new change to start charging accounts sharing passwords outside of the primary household.
It is estimated that the new change will begin in March, and Nextflix is giving users a first look at the changes that will be hitting their accounts in the near future.
The Netflix Help Center webpage details frequently asked questions, mainly about the upcoming password-sharing change. Netflix details that with the change, accounts are still shareable, but only within one primary household.
The profiles under the primary household will all be able to use the same login information, but Netflix will use location services to determine if a profile is not within the household. If the profile isn’t in the primary location, Netflix will prompt them to create a separate account, and if refused, all streaming to that device will be blocked.
If a user not in the primary household creates a new account, Netflix will transfer their current profile to the new account to keep the user’s show recommendations, watch history, and other profile information.
The location services have concerned users who use their accounts while traveling, but Netflix assures that accounts can still be used outside the primary household. The service says traveling users can request a travel code that will allow their account to be used outside the primary location for up to seven consecutive days.
Netflix says the new account-sharing rules are part of an effort to boost revenue to the platform. Currently, it estimates that more than 100 million users worldwide are using someone else’s account, and by blocking that more people will have to create a new account.