Netflix Password Sharing—Everything You Need To Know

Netflix password sharing is ending in 2023, which is leaving folks with a lot of questions. How will Netflix stop password sharing, for example, and what will the new fee be?

In this article, I will share everything known so far about Netflix’s password sharing crackdown. I’ll also keep it updated as new information arrives.

So here’s everything you need to know about the end of Netflix password sharing.

Why is Netflix ending password sharing?

People have been sharing their Netflix passwords for years, and the streaming giant actually used to encourage the practice. Who could forget that Netflix tweet back in 2017: “Love is sharing a password,” it wrote.

At the time, Netflix’s strategy was much more about eyeballs on screens—it didn’t care who shared their passwords if a ton of people were watching. But five years later, things are very different.

Netflix is struggling financially against growing competition from other streamers such as Disney, and that’s on top of the global economic downturn. The figures say it all—Netflix lost nearly a million subscribers between April and July 2022 as people decided to quit the service.

Netflix has tried putting its prices up, but it’s not enough. There are 100 million people sharing passwords, and Netflix wants to monetise them.

When is Netflix ending password sharing?

According to Netflix’s shareholder letter, password sharing will end by the close of the first quarter of the year, and by my calculations, that’s March 31. There is no exact date confirmed yet, and Netflix is testing various scenarios to gain feedback from streamers.

But Netflix has already ended password sharing in some parts of Latin America, and this region is viewed as a blueprint for how things may look worldwide.

How much is Netflix charging for password sharing?

Netflix will have to be very careful about how much it charges for password sharing, as people could simply decide to quit their accounts altogether. While Netflix hasn’t confirmed the exact fee for sharing your password yet, in markets where it has already rolled out the new rules, the streaming service charged around $3.

How will Netflix know if I am sharing my account?

Netflix will have ways of knowing if you are still sharing your account with someone outside of your household. That’s because the streaming service collects a lot of data about you, including what you watch, where you watch it, the location of your home, and device IDs. This information can be used to ascertain whether it’s you watching or someone in another household.

In countries where the password sharing crackdown is active, Netflix is tracking who shares their accounts via the devices used to connect to the platform. It will enforce the end of password sharing by asking devices to “check in” periodically in your home location around once a month. If you have kids at college, they could check their devices in when they are home, if they can get back every 31 days.

Netflix describes in its shareholder letter how you will still be able to use your devices outside of your home once the crackdown begins. “As we roll out paid sharing, members in many countries will also have the option to pay extra if they want to share Netflix with people they don’t live with,” the letter reads. “As is the case today, all members will be able to watch while traveling, whether on a TV or mobile device.”

When Netflix detects that someone outside of the household is sharing the password, it will block the device and give them the option to add their own account.

Netflix hasn’t confirmed this method will be used globally, but it looks likely it will be similar when password sharing ends across the world.

How can I save money while still using Netflix?

Netflix offers various levels of accounts, including a bells and whistles 4K Premium version. If you are already on the top version and you don’t need it, it makes sense to scale back—Netflix allows you to choose Premium 4K, Standard HD (1080p), Basic HD (720p) and Basic with adverts. The ad-supported Netflix package is only a third of the price of the HD setting, so you can save a lot of cash.

Granted, ads can be annoying, but even the basic plan is just over a third of the premium. You can make any changes to your package in your Account settings.