Netflix introduced in the present day that it’s going to start testing a brand new “add a house” function to cost customers who share their account with others in choose international locations. The check marks the streaming large’s newest effort towards cracking down on password sharing. The check will immediate customers to pay an extra price in the event that they use an account exterior their family. Netflix will start testing the function in Argentina, the Dominican Republic, El Salvador, Guatemala and Honduras subsequent month.
In these check areas, every Netflix account will embody one house the place you’ll be able to entry Netflix on any of your gadgets. If you wish to permit somebody to make use of your Netflix account in an extra house, the corporate will ask you to pay a price. You’ll be able to add a house to your account by paying an additional 219 pesos in Argentina and $2.99 within the different check areas. Members on a Primary Netflix plan can add one further house, Normal customers can add as much as two further houses and Premium customers can add as much as three further houses. Customers in these check areas can have the choice to manage the place their account is getting used and take away houses from their account settings web page.
“It’s nice that our members love Netflix motion pictures and TV reveals a lot they wish to share them extra broadly,” mentioned Netflix’s director of product innovation, Chengyi Lengthy, in a press release. “However in the present day’s widespread account sharing between households undermines our long run capability to put money into and enhance our service.”
Netflix says this check expands on the same function it launched in Chile, Costa Rica and Peru earlier this yr known as “add further member.” As a part of this check, subscribers are requested to pay further if they’re sharing the service with individuals exterior their very own family. The function permits households so as to add as much as two “sub accounts” for a price that’s lower than the price of the full-priced Netflix service.
Netflix had mentioned this answer doesn’t depend on location-based information, like GPS. As a substitute, it’s leveraging the identical info it makes use of to supply its service in the present day to its finish customers, together with an IP handle, machine IDs and different details about gadgets signed into the Netflix account throughout the family. By this technique, Netflix can establish when there’s persistent sharing happening exterior a family.
Netflix NFLX is testing a brand new function in Latin America to cost customers an additional $3/month in the event that they share passwords. NFLX will launch its earnings later in the present day the place it’s anticipated to announce a 2 million subscriber loss in Q2.
Are you bullish or bearish NFLX in the long run?