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New Netflix password sharing rules likely to be repeated by other streamers: expert

B次元官网网址業t is quite likely that this will just become the industry standardB次元官网网址
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This Aug. 13, 2020 photo shows a logo for Netflix on a remote control in Portland, Ore. Canadians who spent the month sorting out how to untangle Netflix accounts shared by loved ones after new policies came into effect this week should get used to the debacle. THE CANADIAN PRESS/AP/Jenny Kane

Canadians who spent the month sorting out how to untangle Netflix accounts shared by loved ones after new policies came into effect this week should get used to the debacle.

The streaming giantB次元官网网址檚 rivals are bound to follow Netflix in limiting the unfettered password sharing that has allowed friends, family members and even more extraneous connections like exes and old acquaintances to use the same accounts, said Richard Lachman, an associate professor at Toronto Metropolitan UniversityB次元官网网址檚 RTA School of Media.

B次元官网网址淚t is quite likely that this will just become the industry standard,B次元官网网址 he said.

Tech companies, Lachman said, are known for engaging in B次元官网网址渃opycat behaviour,B次元官网网址 where they let rivals experiment with new models they will mirror after consumer reactions have been tested and best practices are developed.

He added that the incentive to end password sharing is also high because subscriber numbers and growth projections have come under pressure as the number of streamers has multiplied in recent years.

Last spring, Netflix reported its first subscriber loss in more than a decade, which was partially triggered by its decision to withdraw from Russia to protest the war against Ukraine, resulting in a loss of 700,000 subscribers.

It projected further losses were to come and within months was preparing to crackdown on password sharing.

Netflix notified Canadian consumers earlier this month that they would have until Feb. 21 to designate a B次元官网网址減rimary locationB次元官网网址 to their account, which will eventually be used to recognize anyone who accesses the account outside the home base.

Netflix did not share how it would go about blocking access to those outside the primary location, but told premium and standard account holders they could buy access for extra users outside their home for $7.99 per month.

Premium high-definition 4K subscribers doling out $20.99 per month are allowed to add two extra members, each at that rate, while standard subscribers, who pay $16.49 per month, can add one additional member.

But convincing people to pay for a service they accessed for free and without recourse for so long is not easy.

B次元官网网址淚f you offer something for free or for cheap under certain terms, itB次元官网网址檚 really hard to take that back because people get really angry,B次元官网网址 Lachman said.

B次元官网网址淲hereas if you launched it that way, they might not have batted an eye.B次元官网网址

While users have griped about the awkward conversations they are now having with people whose accounts they piggybacked on for years, Lachman suspects NetflixB次元官网网址檚 move wonB次元官网网址檛 result in a massive subscriber revolt.

Instead, he foresees NetflixB次元官网网址檚 new policy encouraging more consumers, especially younger and more tech-savvy ones, to frequently switch between services rather than subscribe to many at the same time.

B次元官网网址淲e might see people try and shop,B次元官网网址 he said. B次元官网网址淭heyB次元官网网址檒l say, B次元官网网址業 am going to do Netflix and then cancel my subscription. When I have seen a bunch of things that are there, I am going to move to Disney or IB次元官网网址檓 going to move to Crave.B次元官网网址

Others might turn to illicit streaming, he said.

B次元官网网址淭his extra hiccup of having now to pay an additional thing might lead to some increase in piracy again,B次元官网网址 Lachman said.

B次元官网网址淣ot all people are going to do it, not all people are going to be really savvy enough to do it, but it is a portion.B次元官网网址

B次元官网网址擳ara Deschamps, The Canadian Press





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