Netflix is considering a massive crackdown on password sharing that doesn't fit its purpose.
's largest streaming platform Netflix recorded a decline in subscribers of up to 200,000 people in the first quarter of 2022.
Quoted via TechCrunch , Thursday (21/4/2022), investors also responded negatively to the unsatisfactory news, causing Netflix to drop drastically by 35 percent, causing the company to lose market capitalization of up to US$50 billion or more than Rp700 trillion in 2013. trading Wednesday (20/4/2022) local time.
, this bad news is Netflix related to several factors, namely due to increasingly tight competition and the Covid-19 pandemic restrictions are no longer being enforced so that people are no longer at home as often as before.
The slowing growth of household subscribers also played an important factor, especially with the phenomenon of sharing passwords with friends or family who are not at home, a practice that Netflix does not allow.
Netflix estimates that about 100 million households currently share passwords with other family or friends. As a result, the company is considering a massive crackdown on password-sharing activities that are not as intended and will provide lower subscription prices, but with ad impressions.
For your information, Netflix currently has 222 million subscribers worldwide, including Indonesia. Their customers exploded during the Covid-19 pandemic and many people needed entertainment at home.
However, it was not only Netflix that experienced a decline in shares, but a number of streaming platforms also experienced a decline in the first quarter of 2022. Starting from Disney which fell by 5.5 percent, Roku at 6 percent, Paramount also fell by 8.6 percent, to Warner Bros. with a decline of 6 percent.
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