How Will Netflix Stop Password Sharing?

Estimated reading time: 4 minutes

Netflix has long turned a blind eye to password sharing, but that is about to change. In May 2023, the streaming giant announced that it would be cracking down on password sharing in order to boost revenue.

Password sharing is a major problem for Netflix. The company estimates that as many as 100 million households worldwide are sharing passwords. This means that Netflix is losing out on potential revenue from these households.

Netflix is considering a number of different methods to stop password sharing. These methods include:

• Geolocation: Netflix could use geolocation data to track where users are logging in from. If an account is being used from outside of the account holder’s home country, Netflix could send a verification code to the primary account holder’s email address or phone number. The user would then need to enter the verification code in order to continue watching Netflix.
• Device ID: Netflix could also use device IDs to track where users are logging in from. If an account is being used on a device that is not located in the account holder’s home, Netflix could send a verification code to the primary account holder’s email address or phone number. The user would then need to enter the verification code in order to continue watching Netflix.
• Account activity: Netflix could also track account activity to look for signs of password sharing. For example, if an account is being used for an unusually long period of time or if it is being used in multiple different locations, Netflix could flag the account for review.
• Charging for password sharing: Netflix is also considering charging users an additional fee for sharing their passwords. This would allow users to share their passwords with people outside of their households, but they would have to pay extra for the privilege.

In addition to these methods, Netflix is also considering:

• Limiting the number of devices that can be used to watch Netflix on an account. This would prevent users from sharing their passwords with too many people.
• Requiring users to verify their identity when they login to Netflix. This would make it more difficult for people to share passwords without the account holder’s knowledge.

It is still too early to say exactly how Netflix will implement its password-sharing crackdown. However, it is clear that the company is serious about cracking down on this practice. If you are currently sharing your Netflix password with someone outside of your household, you may want to start thinking about finding a new way to watch Netflix.

How Netflix Will Stop Password Sharing

This video by Time explains how Netflix plans to crack down on password sharing. It discusses the methods that Netflix is considering, such as geolocation, device IDs, and account activity. The video also discusses the potential impact of Netflix’s password-sharing crackdown on users and on the streaming industry as a whole.

Why is Netflix Clamping Down on Account Sharing?

• Netflix has been losing subscribers for the first time in years. The company blames password sharing for some of this decline.
• Netflix is cracking down on password sharing because the company is losing out on potential revenue. The company estimates that as many as 100 million households worldwide are sharing passwords. This means that Netflix is not getting paid for all of the people who are using its service.
• Netflix is not the only streaming service that is cracking down on password sharing. Disney+ and Hulu have also announced plans to do so.
• Password sharing is a common practice, but it is not illegal. However, it is against Netflix’s terms of service.

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