Disney Plus Password Sharing Crackdown Hits U.S. Market
Disney Plus has expanded its crackdown on password sharing from the Canadian market to the U.S. Here's what to know.
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The Walt Disney Company has widened its password sharing crackdown to U.S. users of Disney Plus in a move that takes a page from the playbook of Netflix and others that are tightening the reins on streaming.
The crackdown also includes ESPN Plus, according to a February 12 updated subscriber agreement that Disney recently sent to U.S. customers. Disney-owned Hulu has also banned password sharing. In November, Disney began restricting its Canadian Disney Plus users from sharing their accounts or login credentials, as Kiplinger previously reported citing an Associated Press (AP) report.
The February 12 agreement includes a new section on account sharing that prohibits customers from sharing subscriptions outside of their households, which the company defines as consisting of the devices associated with the primary personal residence that are used by individuals who live there. Violators of the agreement could have their Disney Plus service limited or terminated, it added.
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In its first-quarter earnings call, Disney CFO Hugh Johnston said that starting this summer, Disney Plus accounts "suspected of improper sharing will be presented with new capabilities to allow their borrowers to start their own subscriptions.”
Subscribers will be able to add access for individuals from outside their household for an additional fee, which will improve the overall experience and grow Disney’s subscriber base, Johnston said.
The Walt Disney Company did not respond to a request for comment.
In May, Netflix implemented password sharing fees and in October hiked prices for the second time in less than two years.
Disney's other recent actions
Disney's password sharing crackdown follows several moves that the company has announced in the last year, including plans to create an ESPN, Fox and Warner sports streaming platform this fall. In November, Disney launched an ESPN betting app streaming service.
Last October, Disney's price hike went into effect, raising the monthly ad-free Disney Plus plan to $13.99, from $10.99, and the cost of its monthly ad-free Hulu plan to $17.99, from $14.99. Also in October, the company also bumped up pricing on select ticket offerings at its Disney World and Disneyland theme parks along with parking at both.
During its fourth-quarter earnings call in November, Disney said that "turning streaming into a profitable growth business" is one of the four building opportunities that it is working on.
Tips to save on streaming
While prices at many of the major streaming services are on the rise, you can still find deals.
In November, the National Aeronautics and Space Administration (NASA) launched a free streaming service, NASA+. The ad-free and family-friendly service features Emmy-award winning live shows and original series. The service "embeds you into our missions through new original video series and puts the universe at your fingertips," the agency said.
Other ways to save on streaming include taking advantage of bundling services and trying out pay-per-view, as Kiplinger previously reported. For more ideas, check out Kiplinger’s guide to streaming services.
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