After Netflix, Disney+ to stop users from sharing password, increase subscription cost

We Indians are known for our “jugaads”. One of our friends buys a Netflix subscription, and the entire group uses it. And not just with Netflix, we do that with mostly all the subscription plans. But last year, Netflix put a full stop to password sharing. It restricted the users from sharing passwords beyond their households. And now, Disney+ is following the same route.

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When will Disney restrict password sharing?

During the company’s earnings call which was hosted on Wednesday, Disney Chief Financial Officer Hugh Johnston announced that Disney+ accounts suspected of improper sharing or users attempting to sign up using someone else’s account would be asked to subscribe independently. During the same call, it was decided that the company would start restricting password sharing from March 2025.

Further, the streaming platform is also planning to introduce a new feature that will allow account holders to pay an extra fee to add people in different households. This is pretty similar to what Netflix is offering. Currently, it charges $7.99 per month for adding someone outside the household.

Disney has yet to disclose the fees. “Our content is outstanding, and we want as many people as possible to enjoy it,” Johnston said. “We are excited to launch this new feature and increase our subscriber base.”

This isn’t the first time that Disney+ has tried to change its terms of service to prohibit sharing subscriptions with people who do not live together. The new terms affect new subscribers from January 25 and existing subscribers from March 14.

Johnston said, “Paid sharing is an opportunity for us. It’s one that our competitor is taking advantage of and one that sits in front of us … We’ve got specific actions planned in the next few months.”

Also read: Pay more or watch ads: Netflix phases out its cheapest ad-free plan

Streaming platforms like Netflix and Disney+ are restricting password sharing due to its significant impact on overall revenue. Password sharing leads to fewer paying subscribers. By converting password sharers into paying customers, they aim to increase revenue substantially.

Mustafa Khan

Mustafa is a young tech journalist who tells it like it is, cutting through buzzwords to deliver straightforward smartphone reviews. He’s the office go-to for insider tips and quick demos, and his video content doesn’t waste anyone’s time. When he’s off the clock, he geeks out over cars, photography, and hunting down the best spot for Indian food. View Full Profile