Technology

Reactions Trails Netflix’s Plan to Charge for Password Sharing

Netflix users have reacted to the giant streaming platform’s plan to start charging users who share their passwords to other users

Netflix disclosed that it is cracking down on users who share their passwords in a statement it released on Wednesday, 16th March. The giant streaming platform revealed that password sharing is reducing the platform’s ability to invest in great new TV and films for subscribed members.

This is coming up after Netflix had in the past encouraged its over 222 million subscribers to share their account passwords with family and friends – this is also succinct with features such as multiple profiles per account as well as multiple streams per subscriber package.

The company also revealed that it can’t entirely stop password sharing but subscribers who share their passwords will have to pay a certain fee. Investors King also gathered that Netflix will test this feature in Chile, Costa Rica, and Peru.

Following the announcement, a number of users and subscribers have stated their reservations about the update with many pointing out that the streaming platform may lose a lot of subscribers with this update.

Netflix also revealed that users who fail to pay for password sharing will be able to transfer their profiles to their own accounts, thereby retaining customizations like My List, viewing history, and other recommendations by Netflix.

Here are a few reactions

This won’t be the first time that Netflix is going about trying to make people pay for its services even though it claims to have over 222 million subscribers on its platform. Investors King recalls that in March 2021, the streaming giant rolled out a test for two-factor verification where subscribers would have to verify ownership of their account after they receive a 2FA code on their registered number.

That update met a number of setbacks owing to the multiple profiles feature and multiple streams per subscriber package.

In Africa, Netflix has struggled with growth for its platform and this update may do more harm for its Africa target audience. A 2021 report by Digital TV Research reveals that the stunted growth and penetration of the platform in Africa is highly due to the cost of Netflix subscriptions and the high cost of mobile data in many African regions.

Netflix had earlier projected to have over 5.6 million subscribers in Africa by 2022 and considering how it closed out 2020 with only 1.4 million subscribers after projecting 2.6 million subscribers, Netflix appears to be far from growing at the pace that will enable it to get that number by 2026.

Investors King Contributor

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