In 2023, the era of Netflix password sharing is over. Netflix has had a turbulent year as a streaming service. Netflix suffered a significant subscriber loss shortly after the end of the first quarter of the 2022 tax year.
Netflix has tried many different ways to increase subscribers since then. One was the lower-tiered, ad-supported subscription level that Netflix launched in November. Another idea was to limit password sharing among users. This may be a viable option.
Netflix has announced that they will stop password sharing by 2023, the end of what was once known as password sharing.
According to the Wall Street Journal, Netflix plans to make it possible for users to pay to share their Netflix passwords to devices outside of their homes.
This system has been tested in Latin American Netflix versions. Users outside the primary account holder’s house are asked to enter a verification code at screen sign-in. The code expires after fifteen minutes. The primary account holder may add two additional users if users want to avoid going through the entire logging process.
How they will do it for Netflix in the US has yet to be discovered. Netflix’s motivation for this change is clear. The streaming platform wants to maximize its subscribers. Netflix is trying to increase its subscriber base, not relying only on its current subscribers who share passwords.
They hope that by restricting access to Netflix accounts only to those living in the home, people who still need to be subscribed will be motivated to sign up for the platform.
The password-sharing ban may be as popular as Netflix’s other changes. However, Netflix’s ad-supported subscription tier is reported to be the least viewed on the streaming platform.
Users have complained that major shows such as House of Cards and Arrested Development are not included in the new payment plan. This is a problem for viewers looking for an affordable alternative to full Netflix.
Early reports from Latin American password-sharing testing show that consumers are already complaining about the anti-password-sharing feature of Netflix.
Netflix could lose more subscribers if it continues to implement dissatisfying strategies. The end of password sharing also increases the number of users who subscribe to the ad-supported platform.
People who cannot borrow a Netflix subscription from their parents or another person might be more inclined to create their account for $6.99/month. Some may think it is smart for Netflix first to offer the ad-supported plan.