Netflix subscribers are adjusting to its new pay-to-password-share policy, and it’s reportedly been a bumpy transition. In Peru, where active accounts were automatically opted-in for new sharing restrictions, reports of confusion are emerging. At issue, a reported lack of clarity over the company’s definition of a “household,” and new charges related to the term. In March, Netflix announced a test run of paid password sharing for non-household users in Costa Rica and Chile, as well as Peru. The Central and South American markets are on the lower side of Netflix’s revenue-per-user scale. Continue reading Netflix Subscribers Struggle with New Password-Sharing Fee

Netflix will test charging its subscribers an additional fee for account access for users outside the household in an effort to control unauthorized password sharing. The company has for many years ignored the practice of multiple users logging in to the same account from different locations, even though their terms of service say accounts “may not be shared with individuals beyond your household.” One analyst estimates Netflix leaves $6 billion a year on the table due to illicit password sharing. The result is “impacting our ability to invest in great new TV and films for our members,” the company explains. Continue reading Netflix Will Test Converting Password Sharers into Paid Subs

Netflix is reportedly considering a move to enforce one of its terms of service: that a customer’s account credentials cannot be shared with individuals beyond the account holder’s household. The company recently introduced a limited test that displays a warning that reads, “if you don’t live with the owner of this account, you need your own account to keep watching.” It next prompts viewers with three options: to get an email or text verification code to authenticate the account, click on a button to verify later, or sign up for a new account. Continue reading Netflix Running Test to Curb Unauthorized Password Sharing

HBO, Netflix and major cable companies have joined forces to crack down on password sharing. The group is discussing ways to close that loophole, which, with piracy, is costing them a projected $6.6 billion in lost revenue this year. According to sources, among the potential measures are to require customers to periodically change their passwords, or to text codes to subscribers’ phones that they’d need to enter. Another option would be to make rules on devices that can be used to access a subscription outside the home. Continue reading Pay TV and Cable Companies Aim To Limit Password Sharing

Beginning in 2007, the Las Vegas, Nevada-based Jetflicks debuted a streaming service that provided commercial-free popular TV shows the day after they aired, most recently charging $9.99 per month. That’s until an undercover FBI agent helped make a bust of the streaming service that enabled piracy. Last week, a grand jury indicted eight people for allegedly operating two of the biggest illegal streaming sites in the country. Jetflicks claims it had 37,000+ subscribers and hosted 183,000 TV episodes. Continue reading Grand Jury Indicts Two Streaming Sites for Pirated Content

Disney and Charter Communications, which just inked a new distribution deal, also stated they have partnered to prevent the sharing of a single account among multiple people. The distribution deal, which involves Disney’s Hulu, ESPN Plus and the soon-to-debut Disney Plus, will let customers buy online services either through Disney or Charter’s Spectrum TV service. The deal will also allow Charter to carry Disney-owned TV channels, including ABC, FX, National Geographic and others, on its cable service. Continue reading Disney, Charter Ink Distribution Deal, Aim to Prevent Piracy

At CES 2019 this week, Synamedia will debut Credentials Sharing Insight, a service enabled by artificial intelligence to discover and halt password sharing, from the casual to the criminal. It’s part of a growing trend among pay TV and streaming video services to curtail the use of shared passwords, especially among friends and family. Synamedia chief product officer Jean-Marc Racine noted that, “the way you secure OTT is evolving.” Parks Associates estimates a loss of as much as $9.9 billion due to password sharing by 2021. Continue reading CES 2019: Synamedia Offers AI Solution to Password Sharing

According to Leichtman Research Group’s latest on-demand study, more TV households in the U.S. now have Netflix (54 percent) than a digital video recorder (53 percent), marking a first for the streaming service. The study also found that 64 percent of households presently use SVOD services from Netflix, Amazon and/or Hulu. “In 2011, according to the research firm, 44 percent of TV households had a DVR and 28 percent had Netflix,” reports Variety. “About 23 percent of all adults in TV homes stream Netflix daily … compared with 6 percent who did in 2011. LRG president Bruce Leichtman noted that Netflix’s penetration is boosted by password sharing.” Continue reading Milestone: Netflix Service Surpasses DVR in U.S. Households

According to a survey from IBM’s Cloud Video division, 31 percent of respondents indicated that they had canceled a streaming video subscription before, while that figure jumped to 40 percent among those who listed Amazon or Hulu as their primary service. When asked why consumers would cancel their subscription, 27 percent pointed to advertisements, 25 percent cited cost, and 20 percent blamed the amount of available content. These reasons topped tech issues (17 percent), while 73 percent of respondents indicated that buffering or start delays were the most commonly experienced problems. Continue reading Ads Are the Top Reason for Canceling Streaming Video Subs

Netflix, HBO and other Internet video-subscription providers will lose about $500 million worldwide in 2015 due to nonpaying customers who piggyback off the login info of paying friends and family. However, because these companies want to make it easy for consumers to use their services, especially as the number of new subscribers continues to grow, they have yet to crack down on password sharing. Netflix and HBO execs are reportedly not concerned about the issue, as studies have shown many unauthorized users eventually become paying customers. Continue reading Today’s Subscription VOD Players Deal with Password Sharing