Netflix password sharing days are almost over and Brits face a shock

Netflix has confirmed plans to roll out its paid sharing feature to members in the next few months, as the days of its password sharing tolerance wind down.

The company told shareholders that it plans to roll out the controversial scheme to end password sharing with people outside their household during the next couple of months (or “later in Q1’23” in Netflix’s words).

Trials in Latin American countries have seen Netflix offer members the chance to add additional people to their account for a fee much lower than an individual account. A launch in other countries, perhaps including the UK, is now officially imminent.

“While our terms of use limit use of Netflix to a household, we recognise this is a change for members who share their account more broadly,” the company told shareholders (via Guardian).

“As we roll out paid sharing, members in many countries will also have the option to pay extra if they want to share Netflix with people they don’t live with. As is the case today, all members will be able to watch while travelling, whether on a TV or mobile device.”

In its report to shareholders, Netflix acknowledges this culture shift – the company once said sharing passwords was an expression of “love” – might be unpopular in the short term.

“As we work through this transition – and as some borrowers stop watching either because they don’t convert to extra members or full paying accounts – near term engagement, as measured by third parties, like Nielsen’s The Gauge, could be negatively impacted,” the report said.

“However, we believe the pattern will be similar to what we’ve seen in Latin America, with engagement growing over time as we continue to deliver a great slate of programming and borrowers sign-up for their own accounts.”