Netflix begins crackdown on secret words sharing
Netflix is running another test on some of its users across various countries, prompting them to verify they share a household with the account holder, as it looks to crack down on secret word sharing.
As per the test, which was first reported by The Streamable, some users will be asked to authenticate their access through an email code or text code sent to the account owner. If the user is unable to verify, they will not be able to stream any content until they create their own account. The test is currently limited to television devices, the report said.
"This test is designed to help ensure that people using Netflix accounts are authorized to do so," a Netflix spokesperson told the publication. That said, it's worth noting that the streaming giant always conducts various tests on its service and it is not clear where this test will get a broader rollout in the future.
Netflix, which recently crossed the 200 million subscribers mark, restricts streaming of content for personal and non-commercial use. In its terms of service, the firm notes that the service may not be shared with "individuals beyond your household". However, it has not clearly defined what constitutes a household. Netflix co-founder Reed Hastings has previously spoken about legitimate cases of secret words sharing.
"Password sharing is something you have to learn to live with, because there’s so much legitimate password sharing, like you sharing with your spouse, with your kids. so there’s no bright line, and we’re doing fine as is," Hastings said during the company's earnings conference call in 2016.
In October 2019, Netflix chief product officer and chief operating officer Greg Peters had said during the company's earnings call that they continue to monitor the issue of secret words sharing but had no plans "of doing something differently there" at the time.
About one-third of Netflix members share their secret words with someone outside their household, according to research firm Magid.
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