Early in 2023, Netflix plans to introduce a system in which payments for “additional member” sub-accounts are added to plans, taxing accounts for password sharing.
According to the Daily Record UK, Netflix stated in a letter to shareholders that starting in 2023, any households that share their Netflix login credentials with third parties will be charged. It stated that it wished to “monetize” account sharing that is paid for on a worldwide scale.
“We’ve landed on a thoughtful approach to monetizing account sharing and we’ll begin rolling this out more broadly starting in early 2023,” Netflix stated.
Although the price of these new fees has not been made public by Netflix, reports suggest that this plan, which is already being tested in a few Latin American nations, charges a fee for each additional member that is around one-quarter the price of a “regular” Netflix subscription.
The change occurs a few months after Netflix suffered its biggest-ever subscriber drop. Prior to this, Netflix had a rather permissive policy regarding password sharing, and it started experimenting with different revenue models for shared accounts.
The next month, Netflix intends to provide less expensive subscription plans supported by advertising in addition to the password-sharing fees.