Netflix To Stop Sharing Of Passwords

Just weeks after announcing the hike of subscription prices, Netflix has announced that it’s cracking down on the widespread practice of password-sharing. It is a test that will get primary account holders pay an additional fee for users outside their households.

The reason? Chengyi Long, director of product innovation, says, “While these [household plans] have been hugely popular, they have also created some confusion about when and how Netflix can be shared. As a result, accounts are being shared between households — impacting our ability to invest in great new TV and films for our members.” The test is currently being carried out in in three countries; Chile, Costa Rica and Peru.

This is not the first time Netflix has experimented with a clampdown on password sharing. Last year, the company experimented with an account verification tool to keep unauthorized users from mooching off of others’ accounts.