Netflix is experimenting with a new method of payment from freeloaders who steal passwords. According to a report by Bloomberg, the company is introducing a feature that allows customers to legitimately enable access from a second home for an additional monthly fee in five Latin American nations. The "add a home" feature will be available on Netflix in Argentina, the Dominican Republic, El Salvador, Guatemala, and Honduras starting the following month.
Anyone in each additional home will then be able to stream
Netflix on any device at a price that is less expensive than full standalone
membership, according to the report.
This comes after the streaming service in March launched a
feature called "add extra member" in Chile, Costa Rica, and Peru that
allows users to pay a monthly fee to grant access to Netflix to people outside
of their households.
According to Netflix, users share their login information
with more than 100 million non-paying households worldwide, including more than
30 million in the United States and Canada, in violation of the company's terms
of service.
As per Chengyi Long, Netflix's director of product innovation,
"widespread account sharing between households undermines our long-term
ability to invest in and improve our service".
It will cost Netflix subscribers in the five new markets ARS
219 per home per month in Argentina and $2.99 per home per month in the
Dominican Republic, Honduras, El Salvador, and Guatemala to purchase an
additional "home" for streaming access.
Customers with the Basic plan may add one additional home;
those with the Standard plan may buy up to two additional homes, and
subscribers to the Premium tier may buy up to three additional homes.
Customers can add up to two Extra Member accounts for an
additional $2-$3 per month each in Netflix's tests in Chile, Costa Rica, and
Peru.
Notably, rather than the actual walls of a home, Netflix's
password-sharing policies apply to everyone in a customer's household. As an
illustration, the company said paying customers can access Netflix while
travelling.
On its customer-support website, Netflix states that it may
occasionally ask you to verify your device "if you are away from the
Netflix household for an extended period of time."
The second quarter of 2022 results for Netflix is expected
to be announced on Tuesday, July 19, following the market close. The streamer
had previously predicted a net loss of 2 million subscribers worldwide, but
some Wall Street analysts think the number will be lower in the second quarter
thanks to the success of Stranger Things 4, as reported by Variety.
According to projections made by Wall Street firm Cowen,
Netflix could increase its annual global revenue by $1.6 billion if it
implemented password-sharing payment upgrade plans everywhere.