This article was last updated on May 24, 2023
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Netflix Starts Penalizing Customers for Sharing Passwords
Netflix has commenced a crackdown on sharing accounts to non-members. Dutch customers who share their accounts with others have been notified of extra charges up to 3.99 per month for every viewer. This new policy is aimed at getting a fraction of their over one-third of Dutch users sharing their accounts, to pay their monthly subscriptions. While sharing passwords is considered an infringement of the company’s terms and regulations, Netflix had left it unchecked until now.
How the New Policy Works
To enforce the new policy, Netflix relies on various parameters including IP addresses, account activity, and device ID numbers to detect unauthorized access. Once Netflix detects any structural viewing from unpermitted locations, a message will appear stating that the device is not a recognized account holder. Then, viewing will be blocked automatically until the appropriate action is taken.
Several streaming services have also implemented similar regulations with the aim of restricting account sharing, but they have not disclosed definite plans for implementing the policy. Other than Canada and Latin America, which had trialed the policy, Netflix has introduced the program globally. The primary aim of the policy is to reduce revenue loss from shared subscription accounts.
An End to the Years of Account Sharing Liberty
Over recent years, Netflix has been embracing occasional relaxation of certain policies. However, in this current move, it seems that account sharing liberties on Netflix are over. Consequently, users found using shared passwords may either pay the extra fee or subscribe directly. Earlier this year, Netflix addressed the policy enforcement, which may simultaneously result in fewer accounts being shared on the platform and increased revenue for the streaming giant.
How the Policy Will Impact Users
To enjoy continuous services, account holders will have to adhere to the new policy, as Netflix intends to strictly follow the outlined regulations. Non-compliance may result in loss of user accounts, but users can rectify this by subscribing directly to the platform. So far, Netflix is the only company with visible plans on how to rigidly enforce anti-account sharing draconian rules. Other competitors have no definite plans yet, but they are enforcing it in their terms and regulations.