Netflix
sign-in
page
displayed
on
a
laptop
screen
and
Netflix
logo
displayed
on
a
phone
screen
are
seen
in
this
illustration
photo
taken
in
Krakow,
Poland,
on
Jan.
2,
2023.

Jakub
Porzycki
|
Nurphoto
|
Getty
Images



Netflix
‘s
crackdown
on
password
sharing
has
come
to
the
U.S.

The
streaming
service
said
it
began
alerting
members
on
Tuesday
about
its
new
sharing
policy,
noting
that
Netflix
accounts
are
only
to
be
shared
within
a
single
household.

“Your
Netflix
account
is
for
you
and
the
people
you
live
with

your
household,”
the
company
said
in
an
email,
which
it
posted
to
its

blog

on
Tuesday.

The
email
goes
on
to
say
that
members
can
transfer
a
profile
of
someone
outside
of
their
household
so
the
person
can
begin
a
new
membership
they
pay
for
on
their
own.
Or
they
can
pay
an
extra
fee

$7.99
a
month

per
person

outside
of
their
household

using
their
account.

On
Netflix’s
subscription
plans

page
,
it
notes
that
extra
members
can
be
added
to
its
standard
and
premium
plans
without
ads.

Netflix

warned

it
would
be
tightening
its
guidelines
on

password
sharing

in
a
push
to
boost
revenue
and
subscriber
numbers,
soon
after
the
company
began
seeing
growth
stagnate.

What
Netflix
plans
cost

Here’s
how
Netflix

prices
its
tiers

in
the
United
States:

  • Standard
    ad-supported
    (2
    devices
    at
    a
    time):
    $6.99/month
  • Basic
    (1
    device
    at
    a
    time):
    $9.99/month
  • Standard
    (2
    devices
    at
    a
    time):
    $15.49/month
  • Premium
    (4
    devices
    at
    a
    time):
    $19.99/month

Originally,
Netflix
was
expected
to
roll
out
its
crackdown
on
people
who
borrow
other
accounts
to
create
their
own
profiles
late
in
the
first
quarter,
but

alerted

investors
and
customers
during
an
earnings
call
last
month
that
it
was
pushing
the
move
until
the
second
quarter.

The
streamer
has
said
than
more
than
100
million
households
share
accounts,
which
is
about
43%
of
its
global
user
base.
Netflix
said
this
has
affected
its
ability
to
invest
in
new
content.

Earlier
this
year,
Netflix
outlined
password-sharing
guidance
in
four
other
countries:
New
Zealand,
Canada,
Portugal
and
Spain.
Netflix
said
it
would
ask
members
in
those
countries
to
set
a
“primary
location”
for
their
accounts,
and
allow
users
to
establish
two
sub
accounts
for
those
who
don’t
live
in
their
home
base
for
extra
fees.


Read
more:


Netflix’s
expected
password-sharing
crackdown
puts
college
students
on
edge

In
Tuesday’s
notice,
the
company
didn’t
provide
such
specifics
for
U.S.
households,
and
rather
gave
the
two
options
of
either
transferring
a
profile
or
paying
a
fee
for
an
extra
member.

The
company
said
it
had
seen
its
subscriber
growth
affected
internationally
where
it
had
rolled
out
such
initiatives
during
the
first
quarter.
But
Netflix
still
managed
to
add
1.75
million
customers
during
the
quarter.

In
Latin
America,
Netflix
executives
said
it
saw
cancellations
after
the
news
was
announced,
affecting
near-term
growth.
But
they
found
those
password
borrowers
would
later
activate
their
own
accounts
and
add
existing
members
as
“extra
member”
accounts.
As
a
result,
the
company
has
seen
more
revenue,
the
execs
said.

Netflix
executives
have

likened

the
paid-sharing
transition
to
that
of
price
increases:
people
initially
balk
and
cancel,
then
slowly
return
and
sign
up
for
their
own
accounts.

In
addition
to
its
crackdown
on
password
sharing,
Netflix
also
recently
introduced
a
cheaper,
ad-supported
tier
in
an
effort
to
boost
revenue.
Both
measures
have
come
in
response
shortly
after
Netflix
reported
its
first

subscriber
loss

in
more
than
a
decade
in
early
2022.

Media
companies
across
the
board
have
been
looking
for
ways
to
make
their
streaming
plays
profitable,
leaning
on
methods
such
as
content
cost-cutting,
advertising
and
finding
other
ways
to
attract
more
customers
to
their
platforms.

On
Tuesday,


Warner
Bros.
Discovery

relaunched
its
streaming
service
as

Max
,
which
is
a
combination
of
the
HBO
Max
and
Discovery+
services.



Paramount
Global

also

announced

this
week
that
its
Paramount+
with
the
Showtime
combined
app
would
be
available
in
late
June.


Disney

has
also
recently
announced
it’s
adding
Hulu
content
to
Disney+.