Netflix Begins Crackdown on Password Sharing in US and UK

Netflix is officially cracking down on password sharing in the United States and the United Kingdom, more than a year after it first announced the move.

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Netflix explained on its U.S. and U.K. websites how viewers who shared their account password to people outside their household would be affected, and what the additional costs would be if they still wanted to let out-of-household users access their account.

Going forward, account holders on the Netflix Standard plan will have the option to add one person outside of their household, but they will have to pay an extra $7.99 a month (or £4.99 in the U.K.) for the privilege. Account holders on the Netflix Premium with 4K package can add up to two extra members, but they will still cost $7.99 each.

As for account holders on the Basic or Standard with adverts plans, they don't have any option to add out-of-household members at all.

Extra members will be given their own account and password, but their membership is paid for by the person who invited them to share their Netflix account. Alternatively, they can use a new "transfer profile" feature to prompt extra users to make their own accounts that they pay for.

Netflix said subscribers living in the same household would still be able to access their account when traveling or on the go, but the streaming company said it had begun sending emails about the "paid sharing" plan to out-of-household users on Tuesday, explaining what their options are.

Netflix has been testing the new sharing restrictions in Canada, New Zealand, Spain, and Portugal since the beginning of the year, and said in April that it was "pleased with the results." In Canada, for example, paid sharing resulted in a larger Netflix membership base and an acceleration in revenue growth, which has given Netflix the confidence to expand it to the United States and elsewhere.

Netflix claimed last year that more than 100 million households are sharing accounts, which is impacting its ability to "invest in and improve Netflix" for paying members.

Top Rated Comments

mystery hill Avatar
3 weeks ago
With all these streaming services increasing their prices, and charging extra for 4K, more users may set sail.

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Score: 49 Votes (Like | Disagree)
thadoggfather Avatar
3 weeks ago
I hope this hurts their bottom line significantly :D

Greed has consumed them, and their content is generally really bad
Score: 48 Votes (Like | Disagree)
spercharged69 Avatar
3 weeks ago
Netflix has lost their minds!
Score: 34 Votes (Like | Disagree)
MacWiz_007 Avatar
3 weeks ago
Haven't seen any ramifications from this yet, as my brother and I share an account in two different locations here in the US. Sounds like it takes 30 days though, although I'm not entirely sure how this works. If Netflix does try to charge us extra, we will cancel. Netflix is trash compared to how it used to be anyway. No loss here.
Score: 26 Votes (Like | Disagree)
Mike MA Avatar
3 weeks ago
Begun, the streaming wars have!
Score: 25 Votes (Like | Disagree)
McWetty Avatar
3 weeks ago
I haven’t used Netflix in a decade, but it always struck me as odd that they make you pay extra for 4K but give you 4 concurrent streams. Why not pay for the streams you need, throw in 4K, and let people pay what suits their needs? I mean $20/mo is still fair compared to what cable charges, but at least make it consumer friendly too…
Score: 18 Votes (Like | Disagree)

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