Netflix to test additional fee feature for users sharing passwords outside of households

The US-based streaming service, Netflix in an attempt to address illicit password-sharing has decided to soon launch a test letting primary account holders pay an additional fee for users outside their households. As per Variety, the streaming giant will experiment with this approach in three countries including Chile, Costa Rica, and Peru, and would charge nearly USD 2-USD 3 extra per month if the users in those countries choose to opt-in. 

Director of product innovation at Netflix, Chengyi Long, wrote in the blog post, "We've always made it easy for people who live together to share their Netflix account, with features like separate profiles and multiple streams in our Standard and Premium plans. While these have been hugely popular, they have also created some confusion about when and how Netflix can be shared. As a result, accounts are being shared between households -- impacting our ability to invest in great new TV and films for our members".

As per the blog post report, the first feature would allow Netflix users who have subscribed to standard and premium plans to add sub-accounts for people they don't live with. A separate login, profile, and personal recommendations would be included for each sub-account. 

The main account owner will receive an email with a code, to enable the new sub-accounts. The user must use the code to verify the additional devices are a part of their household. The company will study the new model's utility in the three countries before it plans to make changes anywhere else.

Netflix subscription report

Last year, Netflix recorded below target subscribers with about 221.8 million. This comes after the OTT platform bloomed during COVID-19 pandemic lockdowns that kept people at home hooked to the online streaming platform.

According to the most recent Netflix earning report, things are not looking better for the first quarter of 2022 as the firm expected to add only 2.5 million subscribers. It is further mentioned that at the end of last year, most of the 8.3 million subscriptions added, came from outside North America.

Recently, the streaming service announced subscription price bumps in the United States, with the most expensive going up to $19.99 while the basic option now costing $9.99. 

(With ANI input)

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