Max To Join The Streaming Pile Of Services To Crack Down On Password Sharing
The idea of cracking down on password sharing began with Netflix last year. The streaming service tested the concept in a few smaller regions, before finally implementing it worldwide. Disney+ soon followed Netflix’s lead, updating its subscriber agreement banning the sharing of passwords a few months later. So, it is no surprise that other streaming services such as Max are falling in line as well.
During the earnings call, the chief financial officer for Max suggested people who currently share passwords with others are causing the price of the service to rise for everyone. He said it was like “asking members who have not signed up, or multi-household members to pay a little bit more.” Wiedenfels added Max will ramp up its cracking down on password sharing in 2025.
In a bit of irony, the streaming service reported during its earning call it had nearly $10 billion in revenue last quarter, as well as 7.2 million new subscribers, the biggest jump in subscribers in the streaming service’s history. However, with so many new sign-ups, one may also wonder how many of those are sharing their passwords with others, and possibly costing Max potential income.
Even with the record number of new subscribers last month, Wiednefels did not take raising the cost of a subscription off the table. He noted the “premium nature” of Max gives the platform “a fair amount of room to continue to push a price we’ve been judicious about.” However, for people who subscribe to multiple streaming services, a bump in the “judicious” cost to a month of Max streaming services may not bode well.
A subscription to Max in the US currently runs $9.99 per month with ads. If someone wants to go ad-free, the price jumps to $16.99. Then there is also the Ultimate Ad-Free plan which runs $20.99 per month.
What are your thoughts on streaming services cracking down on password sharing, while still looking to raise monthly subscription prices? Let us know in the comments.
