The Netflix logo is displayed on the company's website on Feb. 2, 2023, in New York. Netflix on Tuesday, May 23, 2023, outlined how it intends to crack down on the rampant sharing of account passwords in the U.S., its latest bid to reel in more subscribers to its video streaming service amid a slowdown in growth. Richard Drew/AP hide caption
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Richard Drew/AP
The Netflix logo is displayed on the company's website on Feb. 2, 2023, in New York. Netflix on Tuesday, May 23, 2023, outlined how it intends to crack down on the rampant sharing of account passwords in the U.S., its latest bid to reel in more subscribers to its video streaming service amid a slowdown in growth.
Richard Drew/AP
Netflix is rolling out its crackdown on password sharing, more than a year after the pivot was first announced.
The streaming company is limiting password sharing to people living in the same household. Account holders can add more people outside of the household for an extra $7.99 a month, or they can use the "transfer profile" feature to prompt extra users to make their own accounts that they pay for, Netflix said Tuesday.
Netflix said out-of-household users should have begun receiving emails about the change Tuesday.
Those living in one household should still be able to access the account when traveling or on the go, Netflix said.
In March of 2022, the company said that while it had encouraged account sharing in the past, with features such as profiles and multiple streams, the practices have been "impacting our ability to invest in great new TV and films for our members."
Much like back then, consumers are not happy about the switch.
"Between Netflix cracking down on password sharing and Max locking you out of your HBO Max account, what an incredible day for the limitless possibilities of streaming!" one user tweeted.
"I've been a @netflix member since probably 2010," another person said. "I never cancelled it, even with the price hikes. But I think this password sharing crackdown plan is the last straw. Not even with your family members? What was the point of profiles then?"
"Time to cancel netflix! nobody is paying you more to share a password bestie," a user said.
According to the company, more than 100 million households participate in password sharing. It had 232.5 million subscribers as of April.
Netflix previously tested out paid password sharing in international markets such as Chile, Costa Rica and Peru in 2022. Earlier this year, the company expanded its paid account sharing into Canada, New Zealand, Portugal, Chile and Spain. The company said it had positive results in a letter to shareholders at the end of the first quarter of this year.
"As with Latin America, we see a cancel reaction in each market when we announce the news, which impacts near term member growth," it said. But as borrowers start to activate their own accounts and existing members add 'extra member' accounts, we see increased acquisition and revenue."
In the first quarter of 2023, Netflix brought in about $8.2 billion in revenue, compared to about $7.9 billion at the end of the first quarter of 2022, according to the letter to shareholders.
FAQs
Netflix password sharing changes
Can you get charged for sharing your Netflix password? ›
If you want to keep sharing your Netflix account with someone outside your household, you'll need to start paying up.
Can I pay extra to share my Netflix password? ›
Account owners on a Standard or Premium plan in many countries can share Netflix with someone who doesn't live with them by adding an extra member to their account. The account owner will need to purchase an extra member slot, then invite an extra member to use the extra member slot.
How does Netflix know if you are sharing passwords? ›
Netflix detects password sharing through analysis of IP addresses, device IDs, and usage patterns, allowing them to identify instances of shared accounts and address them accordingly.
Why is Netflix asking me to activate extra members? ›
An extra member requirement is for additional user outside this household. We should be able to sign in when travelling but thus screen cannot be navigated from other than activate extra member.
Can I use Netflix in two different houses? ›
A Netflix account is meant to be shared by people who live together in one household. People who are not in your household will need to sign up for their own account to watch Netflix. You can manage who uses your account by setting a Netflix Household.
What is the punishment for sharing Netflix account? ›
You can only add extra members to the more expensive standard and premium plans, and the number of additional members is limited. (One extra on standard, two members on premium.) There are no penalties for sharing, no Netflix police going door to door. People streaming from secondary locations will just be logged out.
How much is Netflix for multiple households? ›
Anyone who pays for the Netflix Premium package with 4K streaming has the option of adding up to two extra members, but each one will still cost another $7.99. The US isn't the only country where the new rules are rolling out either, as Netflix in the UK will charge subscribers £4.99 each month for extra member slots.
How will Netflix know who is in your household? ›
How Netflix detects devices within a Netflix Household. We use information such as IP addresses, device IDs, and account activity to determine whether a device signed into your account is part of your Netflix Household. We do not collect GPS data to try to determine the precise physical location of your devices.
How much is Netflix a month in 2024? ›
How much Netflix costs a month
| Subscription plan | Monthly price | Access to content |
|---|
| Standard with Ads | $6.99 | Due to licensing restrictions, some titles are inaccessible |
| Standard | $15.49 | Every Netflix title |
| Premium | $22.99 | Every Netflix title |
Apr 5, 2024
A Netflix account is for use by one household. Everyone living in that household can use Netflix wherever they are — at home, on the go, on holiday — and take advantage of new features like Transfer Profile and Manage Access and Devices.
Can you get around Netflix sharing? ›
If Netflix sees the same account logging in from IP addresses in a dozen different locations, then it might flag the account for password sharing. To bypass the Netflix password-sharing crackdown, you need a VPN (Virtual Private Network) that routes your connection to Netflix through your home.
Can Netflix track your location? ›
Netflix tracks IP addresses, device IDs, and account activity to determine whether a device signed into a user's account is part of her Household. It does not collect GPS data to determine the precise physical location of devices.
What happens if you live in two locations on Netflix? ›
Big families living in different locations will need to pay for their own Netflix accounts, despite the company's new $7.99 paid sharing option, which it calls 'Extra member. '
Can 3 people use the same Netflix account at the same time? ›
Depending on the kind of Netflix plan you have, you can stream video on 1 to 4 devices at once. You can also create up to 5 Netflix profiles, so everyone can have their own recommendations.
How many people can use your Netflix account at once? ›
Here's a breakdown of how many devices can watch content on your Netflix account at once: Both the Standard with ads and Standard plans allow you to watch Netflix on two screens at the same time. With the Premium plan, you're able to watch Netflix on four screens at once.
What happens if you tell Netflix you are traveling? ›
For travelers using Netflix away from their home address, they may encounter the message, "Your TV isn't part of the Netflix Household for this account." In such cases, select the option "I'm traveling," and you will receive a code allowing you to use your Netflix account beyond your primary household location.
How does Netflix determine a household? ›
How Netflix detects devices within a Netflix Household. We use information such as IP addresses, device IDs, and account activity to determine whether a device signed into your account is part of your Netflix Household. We do not collect GPS data to try to determine the precise physical location of your devices.
How much does it cost to add another household to Netflix? ›
Netflix Standard with Ads - $6.99 a month (cannot add anyone) Netflix Basic - $9.99 a month (cannot add anyone) Netflix Standard - $15.49 a month (can add one person for $7.99 a month outside the household) Netflix Premium - $19.99 a month (can add two people for $7.99 a month each outside the household)
