Netflix's Controversial Crackdown on Password Sharing
Former Netflix competitor takes a dig at the streaming giant's recent crackdown on password sharing The move has received mixed reactions from users, with many questioning its effectiveness and impact on user experience Here's what you need to know about the controversial policy
Netflix's recent crackdown on password-sharing has caused frustration among users who have used this strategy to reduce costs. However, the streaming giant has identified this as a financial issue and announced measures to address it in the United States. Taking advantage of this opportunity, Blockbuster's social media team has called out Netflix for its new policy, highlighting that they never imposed such limitations on their customers. Here's the tweet:
The Netflix Password Sharing Crackdown Explained
After facing backlash from users, Netflix postponed their plan to implement password-sharing restrictions until fall of 2022. However, they proceeded with testing these measures in other markets including Canada, Latin America, Spain, and New Zealand. As a result, the plan was put back into action in the United States on May 23, 2023, coinciding with a surge in subscriber numbers in Q1 of the same year. While households sharing passwords within their immediate family won't be affected, Netflix has introduced alternatives for those who share outside their homes, including a $6.99 ad-supported basic plan and a $9.99 basic plan without ads. The Standard Plan, priced at $15.49, allows users to add one extra member outside their household for an additional $7.99.
The Premium Plan is the priciest option, priced at $19.99 per month. It provides the option to add two additional members for $7.99 each and allows content to be downloaded on six different devices. Users can also shift their Netflix profiles from a shared account to their new individual account. While the initial reception to the password-sharing restrictions was negative, and the rising competition in the streaming service industry does not aid either, the true impact of Netflix's new measures will only be apparent once the streaming service discloses its financial results in the upcoming quarter.
