In 2017, Netflix was still openly sympathetic to sharing your password with others.
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But now it seems to have disappeared - as have many subscribers.
The current terms and conditions have long since stated that an account may only be used by the person who has control over the device on which the stream is being streamed. Accounts may only be shared with people who live in the same household. The streaming provider has had to learn the hard way that this actually looks different.
Netflix vs password sharing
As the Wall Street Journal reports, more than 100 million Netflix viewers use the service with borrowed passwords.
The company wants to put an end to this in 2023. People who share accounts will be asked to pay for it. This change is set to roll out in the US early next year, which is just around the corner. It stands to reason that this will also be implemented in other regions.
As early as 2019, Netflix wanted to take action against password sharing because it was consuming too many users who were considered potential and, above all, paying customers. But then the corona pandemic came, which brought with it a lot of new subscribers. The considerations were put on hold, the numbers now looked better. This approach of the streaming service was apparently not considered in the long term, because the possibility of sharing your password increased the chance that subscriptions would be taken out. And as long as subscription numbers were increasing, it was more convenient to look away than to take a consistent approach. This is now on Netflix's head.
End of the pandemic = decline in subscriptions
At some point, even after a pandemic, “normal everyday life” begins again. People are no longer at home as much and are using other options in their free time than watching the 47th series on Netflix at home. Subscribers have decreased and the company is struggling with losses. Even attempts, such as offering a cheaper subscription financed through advertising , do not seem to be working in the company's interests.
What could the technical implementation look like?
It is not known how Netflix plans to check whether a password is shared in the future. One possibility would be to track IP address, device IDs and account activity. Here, too, problems can arise regarding the location. Use outside of one's place of residence - e.g. B. when traveling – is officially permitted. Frequent use at two different locations does not necessarily mean that two different people are – unofficially – using the same account.
Even if these things are clarified, it is questionable how Netflix plans to take action against this?
On the one hand, extra money could be charged for double use, but on the other hand, password sharing could become extremely difficult, so that it is no longer attractive for users. CEO Ted Sarandos is also aware of this. In December he told investors: “We can’t make a mistake. I don’t think consumers will love it straight away.”
Source:
Wall Street Journal , Standard , futurezone.at
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