Netflix to End Password Sharing Beginning 2023
Following a loss in subscribers throughout 2022.
According to a report from The Wall Street Journal, Netflix will soon put an end to password sharing.
Following a boom in subscribers during the pandemic, the company later began to experience losses and now sees password-sharing as an urgent issue that needs to be addressed. According to reports, it will begin asking for extra payment for shared accounts starting in 2023, affecting users in the U.S. sometime early next year.
“Make no mistake, I don’t think consumers are going to love it right out of the gate,” Netflix Co-CEO Ted Sarandos told investors earlier this month.
The move follows Netflix’s introduction of a “Basic with Ads” tier for $6.99 per month and an update to its customer help pages this year indicating that accounts should only be shared by those who live together. While analysts at Cowen Inc. estimate that the switch will generate an additional $721 million in revenue next year in the U.S. and Canada, others see the move as a one-time boost with negative long-term financial implications.
Netflix has yet to announce the exact date and pricing for its password-sharing move. Stay tuned for more details.
Elsewhere in entertainment, the HUNTER x HUNTER manga is on hiatus once again.
