Disney has been saying for a while that it plans to follow Netflix’ lead and stamp out password sharing across its streaming service.
Now we’ve got a better idea of just how numbered those halcyon streaming days are. Disney boss Bob Iger says the effort will begin in earnest this June. Bummer.
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It’ll begin in a few countries, Iger says, but by September all subscribers will need to comply with whatever new rules the company puts in place.
If it’s anything like Netflix, Disney will allow account holders to add extra members outside of the household to their streaming account, for a set fee.
“In June, we’ll be launching our first real foray into password-sharing, just a few countries in a few markets,” Iger told CNBC in an interview on Tuesday “But then it will grow significantly with a full rollout in September.”
Disney has been slowly laying the groundwork for the change. In February, it outlined new rules on sharing passwords with users who don’t live at the same address.
On its Hulu app, Disney published new guidance saying: “Unless otherwise permitted by your Service Tier, you may not share your subscription outside of your household. “Household” means the collection of devices associated with your primary personal residence that are used by the individuals who reside therein.”
At that point Iger said the company was exploring the best way to enable paying subscribers to continue sharing their accounts with friends and family. He said whatever tactic is deployed will be geared at driving monetisation of those viewers who currently aren’t paying.
Disney doesn’t have much choice but to ensure password sharing comes to an end if D+ will become viable. The company was losing $4 billion a year through streaming at one point.
The situation has improved significantly, but largely because it stopped spending hundreds of millions on objectively terrible Marvel shows like She Hulk: Attorney At Law. Thank God.
