Netflix expands attempts to limit password sharing in other countries. What we know
Netflix is testing ways to make users pay extra if they have other people logged into their Netflix accounts.
The media-streaming company announced it is piloting a new feature in several countries — but not the United States, as of July 20 — to limit account sharing.
The new “add a home” feature will limit all accounts to one home where Netflix can be used on any device, the company announced in a July 18 news release.
Users an pay extra to add extra homes to their accounts. Basic level subscribers can add one home, standard level subscribers can add up to two homes and premium members can add up to three homes. The new feature still allows for travel, so subscribers can use their accounts outside of their homes if they use a laptop, tablet or phone.
“It’s great that our members love Netflix movies and TV shows so much they want to share them more broadly. But today’s widespread account sharing between households undermines our long term ability to invest in and improve our service,” the release says.
The feature launches August in Argentina, the Dominican Republic, El Salvador, Guatemala and Honduras.
So could the new feature be introduced to viewers in the U.S.?
“[Netflix] will not make changes in other countries until we better understand what’s easiest for our members, and don’t have any other plans to announce at this time,” a company spokesperson told McClatchy News.
The “add a home” feature is only the latest in Netflix’s ongoing push to up paying subscribers.
In March, the company launch an “add extra member” feature in Chile, Costa Rica and Peru. With this feature, subscribers have to pay an additional fee to add anyone outside of their household to their account. Extra members have their own login information, but their subscription is paid for by the primary account they joined.
The new features are a part of Netflix’s continued push to grow paying subscribers.
During the second quarter of 2022, the company’s membership growth was better than expected, but still marked a loss in subscribers. Netflix expects to gain around one million subscribers during Q3, it said in a letter to shareholders.
“We’re in the early stages of working to monetize the 100m+ households that are currently enjoying, but not directly paying for, Netflix,” Netflix said in the letter. “Our goal is to find an easy-to-use paid sharing offering that we believe works for our members and our business that we can roll out in 2023. We’re encouraged by our early learnings and ability to convert consumers to paid sharing in Latin America.”
This story was originally published July 20, 2022 at 12:56 PM with the headline "Netflix expands attempts to limit password sharing in other countries. What we know."
