Netflix said it plans to begin restricting password sharing in the U.S. by the end of June.
The company is rolling out a paid-sharing plan that allows the primary
account holder to pay an extra fee to add up to two other users outside
of their household.
- In its latest
earning report, Netflix said it launched paid sharing in four countries —
which are Canada, New Zealand, Portugal, and Spain — and has been
"pleased with the results."
- It's now preparing "a broad rollout, including in the U.S., in Q2," according to the report.
- According
to Netflix, the paid sharing plan has boosted paid subscribers in
Canada, where the number is "now growing faster than in the U.S."
- The company said it expects a financial hit from paid sharing in the short term but a revenue rise further down the line.
- Meanwhile, Netflix also announced plans to wind down its DVD-by-mail business after 25 years.
- The service, which has shopped over 5 billion DVDs, will officially shut down on Sept. 29.
- Netflix
also noted that it added 1.75 million subscribers during Q1, up nearly
5% YoY but a slowdown compared to before and during the pandemic.
