Netflix, which has been focusing on the crackdown on the password-sharing practice, has now finally started charging for account sharing in the United States.
The media streaming giant is now requiring users to pay an additional $8 per month for each user who doesn’t live in the same household as the primary account holder.
As a part of this new policy, the account holder will now have to pay an additional $8 per user who accesses the platform outside of the primary household. Currently, only Standard Plan and Premium Plan support adding additional members, and the Basic Plan, as well as Standard Plan with Ads, don’t support extra members.
Similarly, users in the UK will also need to pay £4.99 more each month for extra members added to the account. This is a significant cost increase on top of the normal plan subscription. It remains to be seen how users in the United States will receive this new policy from Netflix, as it’s a major increase in cost and will have an impact in the longer run.
While the company says that it is seeing an increase in revenue after the implementation of this new policy, there are several users who plan to cancel the subscription altogether. The company estimates that over 100 million households account for password-sharing, and the crackdown on this could generate significantly more revenue.
Before implementing this policy in the United States, the company had been testing it in a number of countries, including Chile, Costa Rica, Peru, and Guatemala. The company says that the test was successful and it has resulted in a decrease in password sharing.
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