The streaming provider Netflix is currently dominating the headlines. Both in-house productions and the business model ensure ongoing topics of conversation. The departure of Henry Cavill (Man of Steel, Mission: Impossible) from the Witcher series caused horror in the fan scene. First information about the emotional last season of Stranger Things makes viewers look wistfully to the coming year. And Wednesday, the Addams Family spin-off series, was streamed a staggering 1 billion hours in its first 28 days. That “5 euro subscription” However, it is not really gaining momentum, Netflix even had to refund some of the revenue to the advertisers.
This is how much money Netflix is losing because of password sharing
The fact that several households share a Netflix account seems to be the rule rather than the exception. That Premium subscription proposes monthly terminable 17.99 euros to book, but makes it possible to binge on four devices at the same time. Clever users take advantage of this.
If four people or four households share an account, you can access the entire content in the highest resolution and at the same time full 13.50 euros (rounded) per month save. You have to be content with one device, but that seems to be enough for many users. A 2019 study suggests that due to account sharing, Netflix $135 million monthly go through the rags.
Netflix plans to stop sharing passwords by 2023
If you convert this amount to a whole year, you get the unbelievable sum of $1.62 billion. In the face of these horrendous numbers, Netflix wants to take consistent action against the sharing of passwords in the new year. This should be done by tracking IP addresses, login information and account activity succeed.
Experts speculate, however, whether such measures could harm the streaming provider. The stopping of account sharing could lead to many layoffs, similar to a price increase. If Netflix is no longer available cheaply by sharing passwords, many users could do without the offer entirely, especially in times of high inflation.
Source: The Wall Street Journal
