At the end of January, Netflix announced it would crack down on password sharing. On Wednesday, Netflix announced its plan to put the no-sharing policy into action. Before you change your password and get rid of all your friends, remember that the consequences are essentially non-existent.
Under the new policy, you will only be able to share your password with people who live in the same household as you, the “Netflix household”. If you’re thinking, “How do they know?” Netflix is one step ahead of you.
The streaming company will use information such as IP addresses, device IDs, and account activity from devices signed into the account to make sure the account belongs to the same household. If a device outside of your household logs into your account or is in constant use, Netflix will notify the phone number and email associated with the primary account to verify the sign-in.
Just because you verify it, doesn’t mean Netflix will always grant access to that account. You may be repeatedly asked to verify your account and cause Netflix to suspect that maybe lead to further action from the company.
Netflix has yet to reveal the actual consequences, but has been testing an opt-in feature that allows Netflix users to pay more for additional accounts added to the main account in Chile, Costa Rica, and Peru. So if you get lucky by sharing a Netflix account, there’s a chance they’ll charge you extra.
If you’re traveling, don’t worry – as long as you’re the primary account holder or live with them, Netflix says you won’t need to verify your device. However, if you are away for a long time, then you will have to. The most disadvantaged when this new policy is implemented will be college students who are away from school and can no longer use their parents’ accounts.
This isn’t Netflix’s first attempt to increase revenue. Last year, Netflix introduced a new ad-supported subscription tier after losing subscribers continuously.
