Netflix was real chill on password sharing, but their recent testing indicates action against Netflix users who do such things.
If your friend doesn’t live with you and uses your account to access Netflix, then that user will see the following message.
“This test is designed to help ensure that people using Netflix accounts are authorized to do so,” As per Netflix’s statement.
The company aims to enhance security while reducing intangible loss. If you share a password with your friend or family who lives with you, you do not need to worry.
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Magid stated in their report that 33 % of Netflix users share their passwords with at least one person. Hence Netflix decided to take some significant steps towards stopping it.
The Company was receiving huge subscribers; therefore, they did not care much about password sharing. Their price starts at 8$ and seems like they are stuck in this price band. Hence they are now ready to boost revenue in this way. Due to this policy, people will stop sharing passwords, which may lead to getting new subscribers.
Last year when Netflix crossed the 200 million global subscriber mark, all were excited. Besides all excitement, Netflix did not perform well at S&P 500. Investors are not in the mood to invest in this share. The company needs to find new milestones by taking new actions like the No Password Sharing policy.
What will happen after this policy
We all hope this master plan will work. Netflix is taking a big step to restrict the current user base to generate a new one. With new policy and terms, they aim to reduce this practice, and occasionally they will aim to stop it. So if you are sharing your password with friends, be aware, Netflix can take action as per the new policy.