Netflix Subscriptions Soar with Password-Sharing Crackdown

Netflix’s US password-sharing crackdown has increased subscriptions. According to data provider Antenna, Netflix has had its four greatest US single-day signups since announcing its revised password-sharing policy in late May. The streaming service had roughly 100,000 signups in two days. This exceeds the pandemic lockdown registration spike and the prior 60-day average.

Netflix’s May 23 email stressed that accounts should only be shared inside a home and gave two choices for password sharing outside households. Users might transfer their profile to a non-household member to start a new subscription or pay $7.99 per person per month.

The average daily Netflix signups have increased by 102% since the email deployment. This rise exceeds the first pandemic lockdown subscriber spike. Netflix’s subscription growth spiked early in the epidemic but stalled afterward.

Netflix has taken many steps to increase income and combat stagnation. The firm established a lower, ad-supported tier and banned password sharing. Netflix’s stock rose after these attempts. After its first subscriber loss in a decade last year, the stock has reached a 52-week high and increased over 40% year-to-date.

Netflix says over 100 million homes share passwords, limiting its capacity to invest in new content. This year, it began giving password-sharing rules in overseas regions. US password-sharing crackdown was delayed until the second quarter.