Netflix Customers Lash out Over Password Sharing Crackdown

Netflix Customers Lash out Over Password Sharing Crackdown,Netflix is finally cracking down on password-sharing in the U.S. this quarter – or as the company calls it, 'launching paid sharing.' The company has been teasing this new system for over a year and has already enacted it in many other countries. Naturally, fans in the U.S. are horrified to hear [...]

Netflix Customers Lash out Over Password Sharing Crackdown

Netflix is finally cracking down on password-sharing in the U.S. this quarter – or as the company calls it, “launching paid sharing.” The company has been teasing this new system for over a year and has already enacted it in many other countries. Naturally, fans in the U.S. are horrified to hear that it is coming their way at last.

“Paid sharing” is a new system where Netflix uses geolocation and IP addresses to track which devices are logging into Netflix through the same account, what network they are on and where they are in the world. Each user will need to identify their home and so that Netflix will know if devices are being used outside of that home. The company will then shut down outside users after a certain period of time unless the account holder pays an additional fee. Netflix says that 100 million people are sharing passwords in multiple households and that this step will keep the company profitable.

If this sounds familiar, it’s because it has made headlines several times already. Last year Netflix had its first fiscal quarter without subscriber growth and it announced plans for this crackdown. A few months later, it began testing “paid sharing” in some countries and users were horrified. Finally, earlier this year Netflix announced that paid sharing was coming to the U.S. and social media filled with outrage. Netflix delayed those plans – until now.

That delay created a misunderstanding for some users who believed that Netflix had simply backed down on the idea altogether. However, in the long run, it seems unlikely that Netflix will give up on the idea of paid sharing. That hasn’t stopped it from becoming headline news once again. Here’s a look at how users reacted to the big announcement online this week.

Missed Opportunities

Netflix not wanting to put their films in theaters despite the success of Glass Onion during their one week as well as that stupid password sharing crackdown is seriously gonna do way more damage than they think. Genuinely cannot believe they are making these stupid decisions. https://t.co/lbaPb08SRB

— Animated Antic (@Animated_Antic) April 19, 2023

Refusing to put their movies in theaters to make extra cash, cracking down on password sharing, and canceling good shows.

Seriously, does Netflix just hate money? https://t.co/BEyFKNjLQo

— Gilbert #NewDeal4Animation 💙💛 (@discord12395) April 19, 2023

While paid sharing is billed as an objective plan to make more money, fans have pointed out other times when Netflix inexplicably made the less profitable choice without the same logic.

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Timing

I mean, what better time for Netflix to crackdown on password sharing than when their reputation is on a downward spiral?

Back-to-back Beef and Love Is Blind controversies. They’re just ripping off the bandaid at this point. https://t.co/dd1CuU2JWZ

— Raven Brunner (@raventbrunner) April 18, 2023

so right after they couldn’t live stream a big event they advertised heavily, they’re back to killing password sharing…netflix fucking sucks lmaooo https://t.co/5OESXI3EXC

— jake wick (@lord_anarchy) April 18, 2023

Netflix has had a couple of notable missteps in the news recently, and fans were surprised that the company would announce something so predictably unpopular in the midst of controversy. The truth is that Netflix announced paid sharing to shareholders in order to assure them that the company would bring in more money this quarter.

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‘Love is Blind’

Netflix is only letting people who have never shared their password watch #LoveIsBlindLIVE

— Ashley Hesseltine (@AshHess) April 17, 2023

And #Netflix think we paying more and not sharing passwords after this #LoveIsBlindLIVE pic.twitter.com/Xbe9Lc3FmZ

— iamdreadenise (@iamdreadenise) April 17, 2023

Plenty of other commenters cracked jokes about the Love is Blind fiasco as well, wondering why they would pay extra for a service that dropped the ball this badly.

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Boycott

They’re not gonna rest until we put them down pic.twitter.com/hXQqB0i3gW

— Echidna (@atsukisaki) April 19, 2023

Some fans thought that boycotting Netflix, signing online petitions and generally making their voices heard on social media might change the company’s mind again.

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Moving the Goalpost

p lang=”en” dir=”ltr”>As companies start focusing on profitability and revenue, some will have to trade off against growth metrics.

For example, Netflix going after password sharing will raise revenue per household but may also reduce total subscribers. Many companies will balk at these tradeoffs.

— Dare Obasanjo (@Carnage4Life) April 19, 2023

Netflix has often touted its subscriber growth as its most important metric, but it won’t be able to continue doing so for long. Many fans wondered if the company is prepared for this shift in perception.

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Subscriber Loss

Or they just won’t watch it.

— Donhondo13 (@donhondo13) April 19, 2023

Between paid sharing and other policy changes, many users predicted that Netflix will see a greater loss in subscribers than it is expecting to. The company claims it only needs 20 percent of users with shared passwords to create new accounts.

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Piracy

piracy sounding even better pic.twitter.com/DCrmqBOpvS

— Vicious (@xVicious_) April 18, 2023

Piracy is easier than ever now.The only reason people don’t is its just mire convenient to pay a streaming service fee every month.Netflix is pushing more people to piracy with this shit. https://t.co/2zimgaTcdw

— claytalian (@claytalian) April 19, 2023

Finally, many fans fear that Netflix will push many paying viewers to resort to piracy with their new policies. They complained that this would be bad for everyone in the long run when it eventually impacts the way Hollywood chooses and funds projects.

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