Netflix’s password-sharing crackdown is paying off, but prices for the subscriptions are still rising. According to a recent report in August 2023, Netflix added 2.6 million new accounts in July. It turns out to be the biggest monthly gain in over a year for Netflix.
The crackdown on password sharing forced many people to sign up for their accounts rather than using other people’s accounts. But if the user count increased rapidly then the price shouldn’t be increased, right? But, no, that’s not the case here.
Netflix raised the prices of its subscriptions in August. It increased the monthly cost of the premium plan by $2 to $23 per month in the U.S. Basically, it was the second price increase for Netflix in the past year.
Netflix says that it needs to raise prices. The raise will help the company to continue investing in new content and technology. Still, some people are worried that the price increases will drive away customers and it will lead to more people cancelling their subscriptions.
What is Netflix Password Sharing Crackdown?
Netflix’s password sharing crackdown is a method of the company with which they can reduce the number of people who are using other people’s accounts without paying for their own. Netflix used to allow account sharing within households, but the company has recently begun to crack down on this practice.
How does Netflix know you are Sharing Accounts?
Netflix has a few different ways of detecting password sharing.
One way is that it can track the IP addresses of devices that are used to access Netflix accounts. If Netflix detects that a user is logging in from multiple different IP addresses, it could flag the user for review.
Another way is that Netflix can track the viewing habits of different devices. If Netflix detects that two different devices are watching the same account at the same time, it may flag the account for review.
If by any chance, Netflix detects that an account is being shared, it may send a warning to the account holder. If the account holder continues to share their account, Netflix may suspend or even cancel the account.
Netflix Subscription Price Increase
We can see that the price rose in a year. The highest price increase is in Brazil and the lowest is in the United Kingdom. However, the price increase will vary depending on the country.
Overall, it is too early to say whether Netflix’s password-sharing crackdown and price increases will be successful in the long term. However, the company’s recent subscriber gains are a positive sign. Let’s see what Netflix’s future moves will be, till then stay connected with Oreonow.