There is nothing to stop Netflix from implementing its paid password sharing system in more countries, including the United States. The streaming service just announced on its quarterly earnings report that it will roll out its paid sharing plan in the country in the coming months.
Netflix Cites Success of its Account Sharing Subscription Plan in Four Countries
Netflix subscribers in the U.S. might need to prepare for the password sharing crackdown soon, as the company is set to launch its new paid sharing plan in the country within the next three months. As per Netflix's letter to its shareholders, the company mentioned the success of paid sharing plan in four countries in Q1.
According to Engadget, Netflix had chosen Canada, New Zealand, Portugal and Spain as the pioneer countries to try their new paid account-sharing plan. Under this new scheme, Netflix's primary account holders can avail add-on for a user outside of their household to share their subscription with. There will be an additional fee for every add-on availed by the primary account holder. A user can avail of up to two add-ons only.
Primary account users can still watch media content on their device and sign into the streaming platform on another device outside of their household, like on a smart TV at a hotel. As for add-on users, they can convert their profiles into new, separate accounts.
"A Netflix account is meant to be shared in one household (people who live in the same location with the account owner)," Netflix stated on its support page. "People who are not in your household will need to sign up for their own account to watch Netflix."
More than 100 Million Non-Paying Users Affect Netflix's Ability to Create New Content
Netflix appears to be confident that the implementation of the paid password sharing plan will not affect the company's revenue in a negative way, contrary to what other people have speculated. Instead, the new plan is seen to help Netflix get bigger revenues this year, noting that there are still more than 100 million non-paying households with access to the streaming service. With the password sharing crackdown about to start, this will allow the company to invest in more content for their subscribers.
There is no exact date yet regarding the rollout of the Netflix password sharing crackdown in the United States. Furthermore, the company has not yet confirmed the countries that will also receive the paid account-sharing plan in the coming weeks. For now, it is expected that the implementation of the new subscription scheme will begin before the end of June.
As per 9to5Google, Netflix will use the location information in the user's Netflix account settings page to determine the primary location of the account owner. Users can also check the page to see which devices are currently logged in their primary accounts.
