Netflix sees new subscribers surge after crackdown on password sharing

Netflix sees new subscribers surge after crackdown on password sharing

The end of Netflix’s password sharing has led to an unexpected growth of new subscribers in the US, according to data analyzed by Antenna.

According to the survey, the streaming service amassed more new subscriptions in the country between May 25 and 28 than in any other four-day period since Antenna began collecting this data in 2019.

The streaming analytics company looks at consumers’ online shopping receipts, invoices and bank records. However, subscriptions offered through packages are not considered.

The new subscriber growth was seen shortly after Netflix started notifying users about password sharing. That is, the company’s decision to end the practice is paying off, at least in the United States.

Since it began cracking down on password sharing on May 23, shares of Netflix are up about 13%.

Because matter?

In 2022, the streaming giant lost two consecutive quarters of subscribers for the first time in its history. Since then, the subscriber base has grown again, but at a slower pace than seen during the pandemic.

With that, even though it was reluctant, the company saw a way out in charging for additional subscriptions that share passwords. After all, more than 100 million people around the world stream series and movies using borrowed passwords.

Therefore, now, in the Standard and Premium plans where multi-screen is possible, the company charges BRL 12.90 per month for each additional subscriber. In Brazil, this cost is cheaper than any individual subscription, as even the “Standard with advertising” plan costs R$18.90.

through The Wall Street Journal.

Post Netflix has a surge in new subscribers after crackdown on password sharing first appeared on Olhar Digital.

Source: Olhar Digital

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