Movie streaming giant Netflix on Wednesday issued new guidelines on password sharing, in a move expected to significantly impact how users consume its products.
The restrictions were first effected last year in Chile, Costa Rica, Peru, Argentina, the Dominican Republic, El Salvador, Guatemala, and Honduras. It has now extended this list to include Canada, New Zealand, Portugal and Spain.
In these countries, people who share an account with those who do not live with them will need to pay for an “extra member.” Users will therefore need to set up a “primary location” for their Netflix accounts. The charges will effectively raise to CA$7.99 in Canada, NZ$7.99 in New Zealand, 3.99 euros in Portugal and 5.99 euros in Spain per extra user.
“Today, over 100 million households are sharing accounts — impacting our ability to invest in great new TV and films,” said Chengyi Long, the company’s director of product innovation.
Prices are per person, with up to two additional people able to be added to an existing Netflix Standard or Premium plan. The extra price will provide each person with a profile, personalized recommendations, login, and password. Alternatively, people who share a Netflix account with someone outside of their household at the current time can transfer a profile to a separate paid Netflix account.
Netflix aims to enforce password sharing rules through IP addresses, device IDs, and general account activity.
The streaming behemoth noted that it expects the move to attract some bit of cancel reaction as this won’t be a “universally popular move.” The company says these changes will be implemented more broadly in the coming days.
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