There have been rumors floating about for quite some time about Netflix’s intentions to limit the sharing of passwords, but the streaming service has only recently made it official that it will put these new restrictions into effect by the end of March. In its earnings report released today, the streaming giant disclosed some information on paid password sharing and said that it would implement the new rule more widely in the coming months.
Last year, Netflix began testing a paid password sharing model in select Latin American nations. The model required customers to pay an additional price in order to share their passwords with others who did not live in the same home as them. According to the earnings report, the modification will become active in other geographic areas around the end of the first quarter of 2023.
The earnings report notes that Netflix would offer members with the option to pay additional fees if they wish to share Netflix with individuals who don’t live with them; however, it does not disclose any specifics about the price structure for these fees. The organization is fully aware of the criticism it will get when the change is implemented and has said that it anticipates some kind of response in each market. On the other hand, it is of the opinion that requiring customers to pay for extra accounts would, in the long run, result in an increase in total income.
Users in countries in which Netflix has already made the adjustment do not face any restrictions when it comes to exchanging passwords with one another in order to access another user’s account. They will, however, be required to provide a verification number that was issued to the main account holder. After providing the verification code, users will be able to access the shared account; nevertheless, the service will continue to display prompts until the account holder pays the add-on cost.
