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Netflix Password Crackdown May Boost Risk of User Turnover
Bloomberg 3/15/2021 Ryan Vlastelica
(Bloomberg) Netflix Inc. may find out soon just how many of its viewers will agree to pay to use its services.
The video-streaming giant is taking a firmer stance against people sharing account passwords, testing a feature that prompts non-paying viewers to buy a subscription. A Netflix spokesperson wrote that the test was “designed to help ensure that people using Netflix accounts are authorized to do so.”
A key question for Wall Street is how many will become paying users. While several analysts are confident that most won’t want to give up access to shows like “Bridgerton” or “The Queen’s Gambit,” the question brings uncertainty at a time when rival services are adding millions of subscribers.
Matthew-harrigan
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