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Disney to Take Action Against Password Sharing, Following Netflix’s Lead

The Walt Disney Co. is set to follow in the footsteps of Netflix by cracking down on password sharing among its global streaming customers.

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During the company’s third-quarter earnings call, Disney CEO Bob Iger revealed that they are actively looking into addressing account-sharing and exploring the best options for paying subscribers.

Disney operates three streaming platforms – Disney Plus, Hulu, and ESPN Plus – with a massive subscriber base of 146.1 million for Disney Plus alone.

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Credits: DepositPhotos

Account-sharing has become a priority for Disney in 2024, and the company intends to update its subscriber agreements later this year to incorporate additional terms regarding sharing policies.

This move aligns with Disney’s efforts to optimize its policies and drive monetization in the coming year. Disney’s renewed focus on profitability in its streaming business is evident since Bob Iger’s return in November.

Drawing inspiration from Netflix, which imposed additional fees on members sharing passwords outside their primary household, Disney aims to deter similar subscriber losses. Notably, Disney will soon introduce a price increase for its ad-free Disney Plus and Hulu subscriptions, as well as unveil a new ad-free bundle option to consumers.

The price hike is scheduled for October 12, while the new bundle option will be available from September 6.

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