Netflix is starting to run out of people on Earth who will pay for Netflix, so the company has been testing a way to prevent sharing accounts. The change is now going live in the United States.
Netflix previously announced that its block on password sharing would start before July 2023 in the US, and sure enough, the company is now sending emails to accounts being accessed in multiple locations. The change was already rolled out to select other countries.
Netflix accounts now have a distinct “household” where streaming is permitted, but anyone outside of that area will need a paid extra member slot, or they can transfer their profile to a separate account. The extra member slot on Standard or Premium plans is $7.99 per month, which is cheaper than a standalone Basic, Standard, or Premium plan. However, the extra member must be in the same country as the original account owner, and people who receive Netflix through included packages or third-party billed accounts can’t set up extra members.
Even if you’re not sharing accounts with friends or family, the household system will still make traveling more annoying — you’ll have to request an access code from Netflix to gain access on a TV at a hotel or vacation home.
Netflix is the first mainstream streaming service to implement remote access restrictions, and it could lead to many people simply cancelling their accounts completely. However, if the company still ends up with higher profits in the end, other streaming services could try similar moves to squeeze more money out of existing users. Disney+ is still struggling to grow its subscriber base, for example.
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