As Netflix takes a significant effort to clamp down on password-sharing among its subscribers, the streaming company saw a surprising growth in its active consumer base.

Netflix sent out word about the change in policy on May 23 this year and has since seen substantial increases in the number of subscribers to its services.

Per a report from Antenna, the streaming company was seeing 100,000 daily signups on two occasions.

However, since the announcement began hitting the consumers’ inboxes, the popular streamer is also seeing an average of 73,000 signups to its service, up 102 percent from the previous 60-day average.

The recorded average is noteworthy for surpassing the sign-ups that took place during the early onset of the pandemic, per the report.

The new guideline is not completely removing the consumers’ capability to share passwords but rather constrains them to just be among people within the same household.

Via a company-distributed email, the message is laid out—“Your Netflix account is for you and the people you live with — your household.

Although the fresh policy has been explicit and firm about consumers not sharing passwords with anybody outside of their households, Netflix is nevertheless offering a few options to those who are insistent about the practice—either transfer the account to an external individual, which will start a new membership that they will have to pay on their own, or pay an additional $7.99 per month (Php150 per member in PH) for every user that is not part of the household.

The year 2022 was a difficult time for Netflix, which, amid the ongoing COVID-19, not only saw it plateauing in its subscriber growth but also garner subsequent losses, the first in a decade.

Apart from striking consumers who share passwords with others illicitly, part of Netflix’s measure in keeping itself profitable, which helped in its rebound, is the introduction of a more affordable but ad-supported tier in its service.


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