Society & Lifestyle

Netflix Begins Password Sharing Crackdown in USA

Netflix has officially announced the beginning of measures to combat the actions of those users of this virtual platform who are involved in the practice of distributing passwords in the United States.

Netflix Begins Password Sharing Crackdown in USA


The video streaming company on Tuesday, May 23, announced that it was sending emails to American subscribers who share their passwords with people who are not members of their families. This measure is a solution within the framework of a long-planned intention to restrict the exchange of access codes.

The email that the users received indicates that the account is intended only for the client and his family. Also in this letter, attention is drawn to the fact that it is possible to share an account outside the family circle if the user transfers the profile to a new membership, which is paid. Another option is to add another member to a personal account for an additional monthly fee of $7.99.

Previously, Netflix did not pay attention to the practice of distributing passwords contrary to the rules of the platform, since these actions contributed to an increase in the number of users. Last year, the company announced the need to start combating such customer behavior. The firm said that actions to distribute passwords negatively affect the profit indicator. The company found out that more than 100 million households worldwide have shared accounts.

At the beginning of this year, Netflix launched a fight against password exchange outside the United States. The corresponding campaign was launched in Canada, Portugal, Spain, and New Zealand.

Netflix reported that in the first quarter of this year, the number of subscribers of the platform increased by 1.75 million people. This result is almost 5% higher than the growth rate of a year ago. At the same time, the increase in the number of subscribers does not meet the expectations of Wall Street analysts, who predicted that the customer base will be replenished with more than 3 million new users.

In April, the company reported in its earnings report that there was a cancel reaction in every market in response to news about a paid account-sharing option, but then revenue growth and an increase in the number of subscribers were recorded.

As we have reported earlier, Netflix adds Zimbabwean billionaire to its board.


Serhii Mikhailov

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Serhii’s track record of study and work spans six years at the Faculty of Philology and eight years in the media, during which he has developed a deep understanding of various aspects of the industry and honed his writing skills; his areas of expertise include fintech, payments, cryptocurrency, and financial services, and he is constantly keeping a close eye on the latest developments and innovations in these fields, as he believes that they will have a significant impact on the future direction of the economy as a whole.