CoinDesk Chief of Staff of Content Pete Pachal discusses Netflix's crackdown on password sharing and how other streaming services could follow suit.
He added, "it's funny, the other streaming services have not dug into Netflix too much. Basically,dug at them a little bit on Twitter, but not many of the others have, I think because they're watching very closely to see what happens with Netflix, and if this actually works in terms of the growth that they're expecting after the initial dip."
The tech analyst warned that if Netflix's crackdown becomes a success other competitors could implement similar strategies. "If that happens, I think a lot of the other services will follow suit because why not? If you can get more revenue from your existing subscribers by making this move, you would do it," he said. Pachal went on to explain Netflix's plan for the new household rules.
"If you try to log into your Netflix accounts from somewhere else, from another location, you're going to get a prompt that is going to ask you, Hey, is this your primary location? This account is meant for people in the same household." He also warned that Netflix will keep tabs on location changes.
"The problem is, if you keep doing that back and forth, back and forth between the same two locations, they're going to detect that pretty easily and shut you down."
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