Netflix cracks down on parasitic accounts with effective subscribers hitting 4-year high - Hong Kong unwire.hk

2023-06-12 09:08:13

Netflix, an OTT service company that provides streaming video in the United States, has been focusing on cracking down on parasitic accounts since late May. According to data from Antenna, a streaming data analysis agency, Netflix has ushered in four years of growth in subscribers since it sent a letter to users in late May to inform users of the policy change. The four days with the highest magnitude.

Netflix sent a letter to users in more than 100 countries, including the United States, on May 23, declaring that the account is only for the use of co-residents, and the “parasitic account” will be suspended. American users who want to share accounts with non-cohabitants need to pay an additional 7.99 dollars, which is just under the $9.99 Basic plan and just over the $6.99 Ads-included Subscription plan.

Netflix surpassed 100,000 new subscribers on May 26 and May 27, according to Antenna. The average daily sign-up rate since Netflix issued the policy change notification letter has reached 73,000, a 102% increase from the past 60-day average and surpassing the surge in subscribers in the early days of the new crown epidemic; although users canceled subscriptions during this period, new subscribers a higher increase.

In the past, Netflix adopted a “turn a blind eye” attitude towards parasitic accounts in pursuit of growth; however, the company previously pointed out that it is estimated that more than 100 million users worldwide use parasitic accounts to watch Netflix, which makes the company’s ability to invest in new movie content restricted. Netflix, which lost its first subscribers in a decade in the first quarter of 2022, sent its stock price down as much as 25% at one point, as it began to focus on boosting revenue. In addition to cracking down on password sharing, Netflix is rolling out a cheaper, ad-supported tier.

source:CNBC