To counter the spread of shared subscriptions, the company is experimenting with a new service in some countries: accounts will be geolocated and streaming outside the city will cost more.
News in the house Netflix: after having communicated i results last quarter, which saw a drop from 970 thousand subscribers (worst result ever), the streaming giant has announced some changes regarding the management of account. The experiments will start in Latin America: from the August 22 subscribers in Argentina, Dominican Republic, El Salvador, Guatemala and Honduras will have to pay an additional fee of $ 2.99 per month to watch Netflix in a «extra house», Thus marking a new squeeze on the sharing of accounts which in the future could also be applied in Europe.
What is meant by “extra house”
The “plans and prices” page of Netflix Honduras explains that “starting from 22 August 2022, if your Netflix account is used on a TV away from homeyou will have to pay an extra $ 2.99 per month for each extra house. You will only be charged when you or someone using your account choose to to add an extra home “. But what exactly is meant by “extra house” and how does Netflix understand where we are? Since 18 July, in these five countries of Central and South America, the company has developed the system of Netflix house: practically every subscription is linked to a house or a physical placewhich one or more accounts are linked to based on floor choice. From August 22, if Netflix were to detect – via geolocationIP address and device ID – that the account is logged in from another house will charge an additional $ 2.99 per month to continue watching movies and TV series in the “extra house”.
Guaranteed on-the-go streaming for two weeks
The Los Gatos company has made it clear that users can watch Netflix on laptop or mobile device while they are travellingadding a maximum period 2 weeks in which it is possible to access from a television outside the home for free, but this only on condition that the account has not been previously used in that position. The Base rate allows you to add an extra home, the Standard up to two and the Premium three, all at a cost of $ 2.99 each.
The system allows you to replace or delete extra houses through the option Manage homesbut at the moment it is difficult foresee how the new service will actually be structured tested first in these five countries. What is certain is that in the light of the drop in subscriptionsthe company is trying to to reduce sharing to a minimum free of accounts between different users: in March, always on the market South American, the «Add an Extra member» service was launched to allow the sharing of the account with an extra fee. Now, you can directly add thewhole house.
“Sharing undermines our service”
“In the lasts 15 yearswe have worked hard to create a service of streaming easy to use, even for people traveling or living together, ”wrote Netflix’s director of innovation Chengyi Long in a statement announcing the changes. “It’s great that our subscribers love Netflix movies and TV shows so much that they want to share them in a way wider. But today’s widespread sharing of accounts between families mine our long-term ability to invest and improve ours service“. Meanwhile, a few days ago the agreement with Microsoft for the creation of new “low cost” subscriptions but with the inclusion of advertising.
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