Netflix’s long-anticipated effort to reclaim revenue it has lost due to password sharing has officially arrived in the U.S., with the company notifying subscribers about its new policy via email this week.
After long winking at the practice of passing along log-in credentials during its early anything-for-growth phase, the company has gotten serious about scrutinizing it in recent years.
It launched what it prefers to call “paid sharing” earlier this year in Canada, New Zealand, Portugal and Spain after a trial last year in a handful of Latin American countries.
Strategically, the move to limit free password sharing is tied to the launch last fall of a cheaper, ad-supported subscription tier.
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