It will soon begin charging primary account holders additional fees if they share their password with someone outside their household. Netflix has been ignoring this issue for years. However, last year it tried blocking password sharing for anyone not living with the account holder.
Netflix members will now be able to share their accounts with others outside their immediate households for a fee. This will be tested in Latin America, where members will have to pay between $2-3 to share a password.
Despite the initial backlash, Netflix believes a password-sharing fee will help the company maintain its revenue in the long run. A new report now suggests that it may also begin occurring outside of Latin America soon.
Netflix plans to implement the change by the end of March this year, according to its latest earnings report. Password-sharing users will be required to pay more as a result of this change.
According to Netflix’s Terms of Use, accounts may not be shared with individuals outside of the household. With the “add an extra member feature,” Netflix users can add up to two accounts for people they don’t live with. Each account will have a profile, personalized recommendations, login and password – all for less than the cost of a Basic Netflix subscription.
Netflix has certain restrictions in some countries concerning the sharing of passwords. It does not prevent or obstruct individuals from giving out passwords, but users on shared accounts have to authenticate themselves first. An authentication code is sent to the account holder that gives authorization to those using the account.
