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Disney + could follow in the footsteps of Netflix: shared passwords are in the crosshairs

Netflix recently informed its shareholders about a drop in subscribers in the first quarter of the year, which caused a stock market crash and widespread panic about the end of the year. This seemingly endless growth of the platform also seems to have created shock waves that affect the rest of the platforms. Disney+ is the latest to join the general trend of tackling the problem of shared accounts.

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For years, Netflix has been a paradise for shared accounts: the four simultaneous users in the different locations that the platform allows have made it easy to pay and share multiple accounts among multiple people. And although in their terms of service they warn that they are not authorized, for practical purposes they are not prosecuted.

Therefore, Netflix has concluded that more than 100 million households around the world do not pay what they should pay to use their streaming service, including 30 million in USA Y Canada.

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It is not yet clear what measures Netflix will take, but they may be aimed at creating sub-accounts; that is, monetize these ‘illegal’ accounts. Netflix will start tracking accounts in 2022 and take action in 2023, and your bet is to see how many people who currently pay a quarter of the rate or enjoy free live are ready to start paying or not.

A survey about shared accounts

So, under the context explained above, Disney + has started with a question to its users about why they share their account with people who do not live in the same house. What is believed to be a problem that specifically affects Netflix seems to be spreading to the rest of the platforms, in a curious contagion effect that is being seen in the subject of the ads that are included in the content.

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Companies that do not use it have announced that they will use it in the future (like her own Disneywhich says that it is very close, or Netflix, as a second measure to deal with a reduction in profits caused by the drop in registrations).

The problem is that now Disney seems keen to investigate the shared account issue and take action on it. The American company has sent several surveys by email to their subscribers asking them why they share accounts.

Some options are: that other people do not use the service often enough, that these people cannot or do not want to pay for the service, that they do not have access to the content where they live or that you want to grant them access so that the content can be discussed later.

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This is clearly Disney’s first step in drawing conclusions about what the expected increase in subscriptions may or may not be (The latest known data for its audience is 130 million closed audiences in 2021).

Measures can range from cheaper subscriptions for those who have so far taken advantage of them for free, to a more positive attitude towards closing mining accounts that do not belong to the same household.

many users treat these platforms as one social network, so to speak: they share their accounts because the experience of commenting and discussing content with other followers is important to them.

The irreplaceable way of life of these streaming services, is it all or nothing? Are the shared accounts, although it is not known, the true backbone of Netflix or Disney? Most likely, there will be an answer in the coming months, and TechMarkup will keep all its readers up to date.

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