The USA-based OTT giant Netflix has banned password sharing in India. Now only members of the same household can share their password.
Netflix subscribers can no longer share their account’s password with friends and family. The new laws allow family members to share their sign-in credentials only if they reside in the same household. In other words, only one household can log into one account.
The five users who are sharing the password, however, shall be able to log in from various devices. They would be able to access their account even when they are on the move. But the same account can no longer be shared amongst friends. This password-sharing ban has already been operational in India since 22nd July.
The OTT platform had begun cracking down on password-sharing in countries like the USA, the UK, France Germany, Australia, Singapore, Mexico, and Brazil. Their action has brought in better business for the company as well. In the short period between January and June, the platform gained 7.6 million new subscribers after they implemented the crackdown. The acquisition of new customers has well- compensated for the loss of 1.2 million subscribers the company saw in the last part of 2022.
Netflix password-sharing ban was inevitable in India.
India is a developing nation with a growing market for global giants like Netflix. The OTT platform has already reduced subscription prices in the country. Yet they have not been able to extract the desired revenue from a massive population like India’s. This password-sharing restriction will force its subscribers to buy their accounts. This will automatically boost their business in the country.
Netflix’s business strategy might be adopted by the competitive OTT providers as well. This will increase monthly entertainment expenses for Indian viewers.
Netflix subscriptions for free
Mobile data pack service providers like Airtel and Jio provide Netflix subscriptions on the purchase of data subscriptions for free. This can be a cost-effective method of owning Netflix accounts for Indian viewers.