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- Netflix users in Canada, New Zealand, Spain, and Portugal are facing a crackdown on password sharing.
- The company previously announced that it wanted to roll out "paid sharing" by the end of March.
- Netflix wants to stop multiple households using the same account, as this is hurting its profitability.
Netflix has widened its rollout of plans to crack down on users sharing passwords, as it begins to spread the new rules across the globe.
Users in Canada, New Zealand, Spain, and Portugal are the latest to face its clampdown on password sharing, after a previous trial in a number of Latin American nations, Netflix said Wednesday.
In a letter to shareholders dated January 19, Netflix said that it expected to roll out its "paid sharing" system by the end of March. In its Wednesday announcement, Netflix said that over 100 million households are sharing accounts, which is impacting its "ability to invest in great new TV and films."
Paid sharing means that Netflix users will have to set up a primary location, so only people in that household can use the account without paying extra. There is an additional charge to let up to two people who don't live with you use your account.
During the trial period in Chile, Peru, and Costa Rica, the prices for additional members ranged from $2 to $3 per month, but the latest four countries have seen that price nearly doubled.
Prices differ across the different countries. In New Zealand, the service will cost NZ$7.99 ($5.09) per month, while it will be CAN$7.99 ($5.96) per month. In Spain, the service will be 5.99 euros ($6.45), and in Portugal it will be 3.99 euros ($4.30).
That's more than Netflix's cheapest "Basic with ads" tier, which in Spain costs €5.49 per month.
A source with knowledge of Netflix's plans said the prices have been set to reflect what the streaming giant thinks is most appropriate for the countries.
The company said in its Wednesday announcement that the new rules shouldn't impact users while traveling.
"Members can still easily watch Netflix on their personal devices or log into a new TV, like at a hotel or holiday rental," the February 8 announcement said.
During Netflix's paid sharing trial in Latin America, it told users that they could request a code to gain a week's access to their accounts while traveling.
Last week, Netflix had to remove some help sections after they were accidentally posted for the wrong countries, The Guardian reported. That prompted some viral tweets suggesting that the company had u-turned on its clamp down, but it is still looking to introduce paid sharing beyond the latest four countries.
"We're now ready to roll them out more broadly in the coming months," Netflix said Wednesday.