Bad news for Netflix password sharers, big company announcement, Netflix announced this week that it had lost millions of subscribers for the first time in a decade, after which the streaming service announced a global crackdown on password sharing. Further steps may include charging users a fee for sharing their accounts.
The global streaming giant lost 200,000 subscribers in the first three months of this year, far short of its target of 2.5 million paying subscribers. The company lost 700,000 customers in early March over its decision to suspend service in Russia after the invasion of Ukraine.
Netflix, which boasts 221.6 million subscribers, multiplied in the early days of the global epidemic, as people from around the world were trapped in their homes and gathered in front of their screens to watch shows and movies.
But password sharing and stiff competition from other streaming platforms have made it difficult for Netflix to attract new viewers.
To increase the number of subscribers and prevent revenue loss, the company suggested that it would implement a number of new measures, such as charging users for sharing passwords and a cheaper, ad-supported scheme. To introduce
Here’s what viewers can expect from Netflix in the future
Possible crackdown on Netflix password sharing
The company said in a letter to shareholders on Tuesday that more than 100 million households use Netflix but do not pay for it. Netflix has admitted that it has allowed users to share their passwords because it has attracted as many people as possible to its platform. But growing competition from Amazon Prime Video, Hulu, Disney Plus, and others has made it difficult for the company to expand its membership base.
Last month, Netflix announced that it would begin testing ways to create users in Chile, Costa Rica, and Peru who share passwords and pay a fee for additional members.
Executives said during the company’s earnings call on Tuesday that the model could be extended to other countries, but it was not clear when the changes would be implemented.
An affordable, ad-supported service On Netflix
Netflix co-founder Reed Hastings has long resisted ad-hoc ads, but the company changed course on Tuesday.
Read This:- Netflix is considering ad-supported price tiers
“People who have followed Netflix know I’m against the complexity of advertising and I’m a big fan of the simplicity of subscriptions,” Hastings said in a recorded interview.