Netflix, the Los Gatos, California-based American media company is ready to Boost the Streaming Quality of Ads Plan, Launch Account-Sharing Fees in the U.S.
The company has recently revealed plans to enhance the streaming quality of its ad-supported subscription plan by elevating the video resolution from 720p to 1080p. The Basic with Ads plan was launched in November last year, initially for U.S. users only. It is now available in several other countries, including the U.K., Australia, Brazil, France, Germany, Italy, Japan, and South Korea.
Additionally, the company has increased the number of concurrent streams for a single account subscribed to the ad-supported plan from one to two. While these enhancements are welcome news for users, Netflix is also planning to launch account-sharing fees in the U.S. So let’s discuss all the important details regarding this.
Netflix plans to launch account-sharing fees in the U.S
This move is part of the company’s ongoing effort to crackdown on password sharing. While individuals sharing their Netflix account with family or friends who live in the same household won’t be charged any extra fee, those living in another household will have to pay an additional charge. The password-sharing crackdown is expected to be implemented in the U.S. after June 30.
Netflix has already tested this strategy in other countries, including Canada, New Zealand, Spain, and Portugal. By implementing account-sharing fees, the company aims to increase its revenue stream while curbing unauthorized access to its platform.
Goodbye to DVD and Blu-ray Rental Service
In addition to the account-sharing fees, Netflix also announced that it would be shutting down its DVD and Blu-ray mail rental service. The service, which was launched around 25 years ago, will be discontinued in the upcoming months.
Conclusion
Netflix is taking bold steps to improve the quality of its ad-supported plan and curb unauthorized access to its platform. While users can enjoy improved video resolution and the ability to stream on two devices simultaneously, they will also have to pay additional fees for sharing their account with individuals living in other households. Meanwhile, the company’s decision to shut down its DVD and Blu-ray rental service signals its commitment to focusing on its streaming platform.