Netflix expands crackdown on password-sharing globally
By MYBRANDBOOK
Netflix has expanded its crackdown on password sharing to users worldwide, with the exception of only the Middle East and North Africa region. With its statement that a Netflix account is for use by one household, the Californian streaming service is seeking to shore up revenue by preventing people beyond their immediate family from using the service.
Netflix said early this year that more than 100 million households were sharing accounts at the service, “impacting our ability to invest in great new TV and films.”
Netflix has experimented in a few markets with “borrower” or “shared” accounts, in which subscribers can add extra users for a higher price or transfer viewing profiles to separate accounts. It is now finally expanding the policy to more than 100 countries including major markets such as US, UK and EU.
While the MENA region has not yet been affected by Netflix’s crackdown on password sharing, the company has hinted that it may expand the policy to the region in the near future.
In February, Netflix announced a price reduction for its subscription plans in select countries in the Middle East in an attempt to drive subscriber additions amongst consumers yet to take the service. With growth for Netflix cooling last year, the Silicon Valley-based streaming giant set out to nudge people watching for free with shared passwords to begin paying for the service without alienating subscribers.
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