Netflix To Test And Launch Charging Users for Sharing Subscriptions Outside Of Households

Netflix is shooting down password sharing with new features being launched in parts of Central and South America.

The company announced on its site how it has “been working on ways to enable members who share [their Netflix accounts] outside their household to do so easily and securely, while also paying a bit more.”

Netflix Will Test Charging Users for Sharing Subscriptions Outside of Their Households
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Under the heading “Paying to Share Netflix Outside Your Household,” the release stated that “features like separate profiles and multiple streams in our Standard and Premium plans” have “created some confusion about when and how Netflix can be shared.”

“As a result, accounts are being shared between households — impacting our ability to invest in great new TV and films for our members.”

The announcement, which was made by Netflix’s director of product innovation Chengyi Long, confirmed that the company is launching and testing new features geared toward curbing password sharing, in which subscribers will be able to “add sub accounts for up to two people they don’t live with” for an added price.

Netflix Will Test Charging Users for Sharing Subscriptions Outside of Their Households
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The other feature will allow subscribers to transfer profile information into either a new account or an “Extra Member sub account.”

The features will start in three countries — Chile, Costa Rica and Peru — but the announcement maintained that “we’ll be working to understand the utility of these two features for members in these three countries before making changes anywhere else in the world.”

“We recognize that people have many entertainment choices, so we want to ensure any new features are flexible and useful for members, whose subscriptions fund all our great TV and films,” the release added.

The news comes just two months after they announced price hikes for membership throughout North America. The standard plan will now cost $15.49 in the United States, up from the previous monthly price of $13.99.

Netflix Will Test Charging Users for Sharing Subscriptions Outside of Their Households
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Netflix’s U.S. premium plan is now $19.99, which represents a $2 increase from the previous cost of $17.99 per month. The streamer’s basic plan in the country is also going up $1, now costing households $9.99 monthly.

The Netflix website states that “these prices apply to new members and will gradually take effect for all current members. Current members will receive an email notification 30 days before their price changes, unless they change their plan.”

Explaining the update, a Netflix spokesperson shared with PEOPLE at the time: “We understand people have more entertainment choices than ever and we’re committed to delivering an even better experience for our members.”

“We’re updating our prices so that we can continue to offer a wide variety of quality entertainment options. As always we offer a range of plans so members can pick a price that works for their budget.”

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