What is the Reason Behind the Netflix Password Sharing Crackdown? How Serious is the Situation?


What is the Reason Behind the Netflix Password Sharing Crackdown? How Serious is the Situation? 
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Netflix might just be rolling out a whole Netflix password sharing crackdown as the company takes an uncompromised position when it comes to password sharing. The company, this week, starts to test out a verification system that is designed to dissuade the reportedly common practice.

A select number of subscribers just this week were given a prompt reading stating that if the user did not live with the owner of the said account, the user would then need their very own account for them to continue watching. Users were then asked to give verification through a generated code that was sent either through text or email, according to an article by TheStreamable.

According to an article by Apple Insider, a Netflix representative explains the reason behind the crackdown which is still now being tested. According to the statement, the new test is actually designed to help ensure that the people that are using Netflix accounts are actually authorized to do so.

Although it might be unclear as to exactly how Netflix could be monitoring the whole password usage, it was noted that an easy way of doing so would be by tracking the current user’s IP address. As of the moment, the scope of the test isn’t too big.

It was reported that the test is now only limited to customers that are reportedly trying to access the service through the use of smart TVs. However, the testing could potentially expand at a later date and even become some form of standard policy. Alternatively, the fruit of the test could be nothing as the company also noted to CNBC that it actually conducts about hundreds of more similar trials every single year.

Read Also‘Start Your Own Netflix’: Pop-up Warnings Against Password-Sharing May Soon Arrive-How to Remove Devices Immediately

How did Netflix react to password sharing in the past?

According to an article by BBC, Netflix is now trying to crack down the other ineligible users although it is still quite unclear as to how many people are using the said platform and going against the standard terms of service. It was reported that streaming platforms would allow its users to create a number of profiles within the account but it is still important that the terms and conditions that are specified point towards only people within the household using the account.

During a previous 2016 webcast, Reed Hastings, the Netflix co-founder and chief executive noted that password sharing is actually something that people have to learn to live with. This is because there is already a lot of legitimate password sharing amongst friends, family, and partners.

Back in October 2019, Greg Peters, the chief product officer, noted that the company was notably looking at the particular password sharing issue. However, it had said that it had no big plans to announce during that time. Netflix has reportedly gained a whopping 37 million new subscribers back in 2020 and is also reportedly more than 200 million subscribers collected from around the world.

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Written by Urian Buenconsejo

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