In a recent announcement, Netflix revealed that it has put an end to password sharing in India. From now on, only members of the same household will be allowed to access a single account. This means no more sharing of accounts among multiple people who aren’t part of the same household and splitting the subscription fee.
This move is part of a global effort by Netflix to crack down on password sharing with individuals beyond the immediate family of the account holder. The crackdown is not only limited to India but also includes other regions like Indonesia, Croatia, and Kenya. Netflix aims to bolster its revenue growth in the second half of the year through this initiative. Indian members who have been sharing their Netflix accounts outside their households will soon receive emails notifying them of the new policy.
In its letter to shareholders, the company stated that it won’t be offering the “extra member” option in certain markets. This decision comes as Netflix recently implemented price cuts in these regions and is still in the process of expanding its presence there. While paid account sharing was introduced in over 100 countries, allowing users to share their Netflix accounts with people outside their households for an additional fee, this option won’t be available in the mentioned markets.
According to a letter to shareholders, Netflix reported higher revenue and paid memberships in the regions where paid account sharing was introduced. The numbers clearly show this success, as the company added 5.9 million new members in the second quarter of this year, in contrast to the one million it lost during the same period last year. As of Q2 2023, Netflix had a total of 238.4 million subscribers, generating $8.2 billion in revenue and making a profit of $1.5 billion.
For the upcoming quarter, Netflix anticipates a revenue of $8.5 billion, thanks to the continued growth of average paid memberships.
As for users outside the household who can no longer access content for free due to Netflix’s new stance on account sharing, they will need to take a straightforward approach. They will have to transfer their profile to a new account, for which they will need to pay, and also consider changing their password.
According to Netflix’s official statement, a single Netflix account is meant for use within one household. All members living in that household can enjoy Netflix on various devices, whether they are at home, on the go, or even during vacations. The company also mentioned the introduction of new features like Transfer Profile and Manage Access and Devices, providing more convenience to users.
Netflix acknowledges that its members have a multitude of entertainment options available to them. That’s why the company continues to invest significantly in a diverse range of new films and TV shows. Regardless of individual preferences, moods, languages, or the company, you’re watching with, Netflix aims to offer a satisfying viewing experience for everyone.
