The streaming service began alerting members on Tuesday about its new sharing policy, noting that Netflix accounts are only to be shared within a single household, the company revealed new membership tier options for those looking to share accounts.
Today, Netflix sharing password crackdown rolled out across the United States. Beginning Tuesday, users will be asked to set a household location on their devices , with non-household members asked to either transfer their profiles to a new Netflix subscription, or have the primary account holder add a non-household member to their subscription.
What are Netflix’s new rules on sharing passwords? According to their website, there are two options if people want to share a Netflix account with someone outside of their household. The first is transferring a profile to a new membership that person pays for.
The second is to buy a non-household membership, which costs $7.99 per month. This will allow non-household members to use the account. For those on the Netflix Standard plan ($15.49 per month), users can add one non-household member to the plan for $7.99 per month.
For those looking to travel and keep their Netflix account, there will be no change. Users will also be able to take their accounts with them on the go. Users who have the Netflix Premium package (which includes 4K streaming) will be able to add up to two non-household members. However, they’ll have to pay the $7.99 per month fee twice. Netflix said in its statement that it will notify U.S. users via email this coming Thursday.
On Netflix’s support page, they say that an “extra member” is considered someone who is outside the vicinity of the main household’s Wi-Fi connection. According to the streamer, it will use IP addresses, device IDs, and account activity to determine whether an account is part of “Netflix Household.”
Earlier this year, Netflix outlined password-sharing guidance in four other countries: New Zealand, Canada, Portugal and Spain. Although Netflix used to be fine with password sharing, the company has cracked down on the practice, so their intention to tighten its guidelines on password sharing in a push to boost revenue and subscriber numbers. The streamer has also said more than 100 million households share accounts, which is about 43% of its global user base. Netflix said this has affected its ability to invest in new content.