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© 2026 Benzinga | All Rights Reserved
April 24, 2022 4:53 PM 2 min read

Netflix May Soon Clamp Down On Password Sharing: Here's How It Is Going To Work

by Bibhu Pattnaik Benzinga Staff Senior Writer
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NFLX Logo
NFLXNetflix Inc
$83.35-0.17%
Overview

Last week, Netflix Inc (NASDAQ:NFLX) announced its quarterly results, failing to impress many investors. 

One of the biggest concerns for the streaming giant has been to control the rampant practice of password sharing. The company says over 30 million households in the U.S. and Canada use shared passwords for accessing Netflix. The global tally is at 100 million households. 

Netflix has allowed its users to share their passwords with relatives and friends. During its quarterly meeting, the company said that this policy likely helped fuel its growth by "getting more people using and enjoying Netflix. 

In 2017, Netflix's corporate account tweeted in support of the practice. 

No, Netflix will not freeze those shared accounts; instead, the company will set an extra fee for accounts being used by multiple people outside the home.

The company has rolled out two test features called "Extra Member" and "Profile Transfer." Both of the features are currently being tested in Chile, Costa Rica, and Peru.

Also Read: As Netflix Crashes 25%, 'The Big Short' Fame's Michael Burry Warns Of A Similar Fate For Tesla 

The costs vary based on several factors, but Netflix said the features can be added for "a fraction of the price of a Basic Plan."

With the "Extra Member" feature, subscribers to the standard and premium Netflix plans can add an account for up to two people who don't live with them.

These "extra" members will have full access to the main Netflix account and have their own profiles and log ins.

The "Profile Transfer" option lets subscribers at any price-tier transfer their profile information, namely their viewing history, to a new paid account.

A survey from research organization Time2Play finds that about 80% of Americans who use someone else's password wouldn't pay for their own subscription.

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© 2026 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.


Posted In:
NewsTop StoriesNetflix
NFLX Logo
NFLXNetflix Inc
$83.35-0.17%
Overview
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