Netflix subscriber numbers soar after password sharing crackdown

Netflix's recent crackdown on password sharing appears to be effective, leading to significant growth in the number of new subscribers, contrasting last year's decline. However, the new subscription structure may impact families sharing an account irregularly.

Password Sharing Crackdown: Netflix's effort to limit password sharing is yielding positive results.

The crackdown has apparently contributed to an increase in new subscribers.

Netflix is expected to report an addition of 1.8 million new subscribers for the last financial quarter.

This situation differs starkly from the previous year when Netflix reported a decline in subscriber numbers.

Source of New Subscribers: There has been an impressive growth in new subscriber counts.

Data indicates a 236% growth in new Netflix subscribers from May 21 to June 18 of this year.

One analytics firm reported that Netflix experienced its four largest days of US user acquisitions during this period.

Subscription Structure: The subscription choices of new users could affect revenue metrics.

The proportion of new subscribers opting for different subscription types, such as ad-supported versus adding additional users, will be noteworthy.

If users adding more people to their plans are counted under the main account, it could decrease reported subscriber numbers but increase average revenue per user, an important metric for shareholders.

Impact on Families: The new rules might be a disadvantage for certain families.

Families where children live only part of the time may face issues with the new subscription rules.

Adding these occasional users to plans could significantly increase the subscription cost.

In the streaming wars, such families might unintentionally become collateral damage.