Netflix are introducing a programme that will detect and prevent password-sharing between multiple users, unless you pay an additional fee.
Newstalk Tech Correspondent Jess Kelly told Newstalk Breakfast there have been “rumblings” for some time that Netflix would clamp down on password-sharing – but now it’s been introduced in certain countries, such as Spain.
It is not yet clear when the policy will be introduced in Ireland.
Netflix will now be able to detect if you are streaming from your “primary location” i.e. the address on your subscription bills.
In some regions, Netflix will send a verification code to the account owner to confirm their location – which might create a loophole in the rules.
“So, if you and I share a Netflix account, you pay for it, I'm at home - I can just say, ‘Text me that number Netflix have just sent you’ and I can put in put it into my account,” Jess explains.
Additional charges
Despite that, other regions are introducing an additional fee for single-account users who wish to add another account.
“I could pay anywhere from say €2 to €3.99, right up to around €7 to add an extra person,” Jess said.
Jess said this could create a more complicated payment method for people who already pay for shared accounts.
“My Netflix subscription is €21, and the reason I paid [that instead of €8.99] is because I wanted to be able to facilitate for people watching different content at the one time.”
2BNB84N LONDON, UK - MAY 14 2020: Netflix logo on a smartphone with popcorn“I'm already paying the premium for that. Do we really need to get people or for me to downgrade my plan to €8.99 and [Shane Coleman] pay €8.99 and [Ciara Kelly] to pay €8.99?”
Ciara agreed that there are already issues when it comes to multiple people sharing Netflix accounts – which Shane referred to as “first world issues”.
Jess argued that “a first world problem is still a problem”.
Future of Netflix
When Netflix first suggested restrictions on password-sharing, subscriptions significantly decreased globally by 200,000 users.
Jess said Netflix lost one million subscribers in Spain following the introduction of restrictions, according to a report from Bloomberg.
Netflix had predicted a turbulent period in the wake of restrictions but are confident subscriptions will increase to their regular level in the future.
“The content will dictate if people come back or not,” Jess said.
“It's so simple to cancel your Netflix subscription and it's very simple to re subscribe. So, people may be outraged now, and then they may come back depending on the content.”
