Netflix has taken action against subscribers who have been sharing their accounts with others for free by implementing a crackdown policy in over 100 countries. This move requires individuals outside the original household to either pay for access or create their own Netflix account.
The company emphasized that a Netflix account is intended for use by one household and will now send emails to all account holders worldwide regarding the new restrictions.
While those within the same household can continue sharing, individuals outside the household have the option to pay for access or create their own account and transfer their profile.
Netflix’s crackdown aims to address the widespread practice of password sharing, which has impacted the company’s profits. They are seeking to recoup subscription fees lost due to this long-standing behavior, estimated to affect around 100 million households.
To supplement their revenue, Netflix is introducing an advertising-supported service alongside their streaming offerings. Notably, the company initially tested this crackdown in Latin America, receiving mixed reviews from users.
While the announcement was not made on their Twitter profile, Netflix reminded account holders to check their settings to monitor devices signed into their account.
With this crackdown, Netflix hopes to encourage individual subscriptions and address the financial implications of widespread password sharing.