When a user shares their account password with anyone outside the family, Netflix will start charging them extra, the company has revealed. In its most recent earnings call, Netflix disclosed that it had suffered a significant loss and lost a lot of members. The firm just announced that it would start charging consumers extra member fees if they share their account password with any other member than household during its quarterly earnings call. In 2023, the new regulation will take effect.
According to Netflix, password sharing is one of the primary causes of their losses, and they had to act, which they are doing by making money from it. With the new functionality, customers of the Standard and Premium plans will be able to set up sub-accounts for up to two people they don't live with, each with their own profile and personalised recommendations — all for a lower cost. However, this feature is distinct in that each sub-account will require a separate Netflix login and password.
How Much Will Netflix Charge if You Share Your Password?
The price that Netflix will charge a user for disclosing their account password has not been made public. However, the application is already being tested in a select Latin American nation, where it is being offered for $2.99 (about Rs 246) each month, which is one-fourth of the $12 (around Rs 989) subscription rate.
Netflix is taking additional measures to recoup its losses in addition to this one. Netflix unveiled ad-supported plans earlier this month that are less expensive than competing options. From the beginning of next month, the ad-supported plan will be available in 12 nations, including the US, UK, Australia, Brazil, France, Germany, Italy, Japan, and Korea. Starting price is $6.99 (roughly Rs 575). Users can anticipate 4 to 5 minutes of commercials every hour under this plan, with the length depending on the title. Each advertisement will last between 15 and 30 seconds, and viewers will be able to pause them but not skip or fast-forward them. Regarding the launch of this new function, Netflix India has not made any announcements.