Netflix may impose restrictions on password sharing.

Netflix may impose restrictions on password sharing.

Netflix’s stock plummeted this week after the company announced its first subscriber loss in over a decade. Large password sharing was one factor cited by the company as harming revenue.

Is this a hint that the streaming service is ready to drop millions of subscribers from shared bills? It’s not pretty. However, it’s possible that Netflix users all across the world will pay just as much to keep their kids, friends, or coworkers on their accounts.

Netflix (NFLX) members have been able to alter their passwords with minimal intervention for years. In fact, the firm conceded in a letter to investors on Tuesday that the publicity most likely aided its growth by “getting more individuals involved.”

However, the boom has come to a halt, and Netflix announced on Tuesday that it is now looking into how “how to monetize sharing.” According to the firm, “Netflix is being shared with over 100 million new families” among its 222 million paying households worldwide.

Is this the end of password sharing on Netflix?

So, how does this affect your account? It’s unclear because Netflix is still in the early stages of figuring out how to make more money from account sharing.

Last month, the company announced that it has been working for a year on ways to “enable participants who share outside their family to do so easily and securely while also paying a bit more.”

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