A fee will be required if users want to grant access to their account to anyone outside of their immediate family, which the company is encouraging.
Netflix has implemented new regulations in an effort to get users to start paying for their subscriptions, marking the next phase of the company’s crackdown on account sharing.
To begin with, these rules will only apply in a select number of countries and will charge account holders a fee if they wish to share their account.
The company estimates that 100 million users are in violation of Netflix’s terms of service by sharing their accounts with others.
Netflix has been lenient toward shared accounts for a long time, choosing not to enforce the rules that have been in place for quite some time. Nonetheless, it has signaled that it will make a greater effort to pursue customers in the coming months, amidst declining revenues and a renewed focus on growth.
Paid sharing was just recently implemented as a part of its plan in Canada, New Zealand, Portugal, and Spain. Earlier, it was introduced to a number of Latin American countries.
Netflix has been mum on when it will roll out its paid sharing model internationally, but it is widely believed that it will debut in the United States within the next few weeks. The United States and Canada are home to about a third of Netflix’s global audience.
Over 231 million people in 190 different countries have paid to watch Netflix. The company’s ability to invest in new shows is hampered by the fact that as many as 100 million households are reportedly sharing their accounts with others at present.
With tools like profiles and simultaneous streaming, we’ve made it simple for roommates to share a Netflix account “In a blog post published on Wednesday, the company announced. While these have proven to be immensely popular, they have also led to much consternation about the proper methods of sharing Netflix.”
On Wednesday, Netflix announced that subscribers in Canada, Spain, New Zealand, and Portugal would be able to add up to two non-living guests to their existing Netflix account for an additional monthly fee. It costs 7.99 Canadian dollars per month, but only 3.99 Euros per month in Portugal.
People who have been using borrowed Netflix accounts will soon be able to import their viewing history and other preferences into their own accounts, the company said.
Netflix has not revealed any plans for dealing with account sharing outside of the household. Netflix co-CEO Greg Peters told investors in a January conference call that the company is taking its time with the rollout.
There will be some current members who are not happy with this change, and that’s something to keep in mind. To that, he predicted, “we’ll see a bit of a cancel reaction. This is what we expect to see if we were to increase prices.