Netflix Starts Crackdown on Password-Sharing in Canada

Netflix, with its plan to ban users from sharing their passwords to other users, has already started its crackdown in Canada. 

According to technology analyst Carmy Levy, the streaming giant is doing this to generate revenue from users “who have been getting a free ride” amid rising costs and a competitive streaming economy.   

With over 230 million paying subscribers around the world, as many as 100 million utilize shared accounts. However, friends and family who live apart will no longer be able to do so as the rollout ensues. 

The streaming giant told CTV News Toronto that its app will “no longer be accessible on select TV receivers,” while some CTV News Toronto viewers who share passwords said they were already blocked from the services, with messages popping on their screen: “Netflix is no longer available on this receiver.”  

“The company is facing more competition than it has in past years, and they are spending tens of billions of dollars to try and bring new movies and TV shows to Netflix, and the company just can’t afford to maintain the status quo,” Levy explained. 

Netflix announced the crackdown last year, following a huge loss in subscribers. Last January, the streaming service formalized this announcement via a letter to shareholders by saying it will change its password-sharing policies and charge users for sharing accounts starting March.  

After Netflix updated its app by posting its password-sharing rules in the Help Centre Page, backlash from Netflix users ensued, prompting the streaming service to remove the set of guidelines and claim that they were posted “by accident.”