Netflix's efforts to crack down on password-sharing among users in the United States have yielded positive results, as indicated by data analytics company Antenna. The streaming giant witnessed a significant surge in subscribers within four days of notifying users about its new paid sharing policies on May 23rd, according to sources cited by The Wall Street Journal.
During this period, the average daily signups skyrocketed to 73,000, reflecting a remarkable 102 percent increase over Netflix's previous 60-day average. Notably, on both May 26th and May 27th, Netflix added a staggering 100,000 subscribers, surpassing the influx of subscribers observed during the peak of COVID-related lockdowns in March and April 2020, as reported by Antenna.
Under Netflix's revised password-sharing policies, subscribers are required to pay an additional $7.99 per month to share their account with up to two individuals residing outside their household. Although Netflix had cautioned investors about the potential for a "cancel reaction" in response to the policy change, Antenna's data reveals that signups outpaced cancellations during the observed period. However, it remains too early to determine the full extent of the impact of Netflix's password-sharing crackdown in the US, with further insights expected to be provided when Netflix reports its upcoming earnings results next month.
As Netflix continues to address password-sharing concerns and enforce its updated policies, the effects on its subscriber base and user satisfaction will become clearer in the coming months.