Cracking down on password sharing has worked for Netflix, with soaring profits andrecord subscriber numbers.
So it's hardly surprising that rival Disney+ is finally following suit.
Disney+ has unveiled an upcoming feature called 'Extra Members' that will make users pay an extra fee for 'freeloaders' using their account in another household.
Each Extra Member added will cost the billpayer £4.99, reports suggest – although Disney is yet to confirm the price.
Exactly when Extra Member will be available is unclear; MailOnline has contacted the streaming giant for more information.
Disney+ launched in the UK in March 2020 and since then has undergone pricing restructures that have proved unpopular with users
What is password sharing?
Password sharing is a habit adopted by users of steaming services such as Netflix and Disney+.
It involves a user distributing their password to other people who live outside their household.
This lets these so called 'freeloaders' access their account, create their own profile and watch films and TV shows without paying a penny.
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Disney+ revealed more about its new Extra Members feature in a lengthy email sent to British subscribers this week.
'An Extra Member may create one profile within Disney+ for their sole use only and may not share their account details with anyone else,' it says.
'Subscribers and Extra Members are responsible for maintaining the confidentiality and security of their access credentials.'
The option to add an Extra Member is not yet available on Disney+; MailOnline has contacted the streaming giant about when exactly it will arrive.
But Disney's new email reveals a few details about how Extra Member will work.
Essentially, the existing account holder (the 'Subscriber') will have to extend an invitation to someone outside their household to use their account, likely via email.
Extra Members will have to create their own account and even login credentials, but crucially it will be within the existing account and the account holder (the 'Subscriber') will be the one footing the bill.
But this won't come free – sources suggest it will cost £4.99 per Extra Member.
So if an account holder has allowed two Extra Members on board and is already paying for a Premium Disney+ subscription (£10.99 per month), they'd havea hefty monthly bill of £20.97.
Aside from a huge back catalogue of Disney movies, offerings on Disney+ include The Simpsons, Star Wars and Marvel films like The Avengers
Why don't freeloaders just start their own account?
In a nutshell, Extra Member will let people watch Disney+ while in a different household to the person who is paying the bill.
So people in another household could start their own account, but they'd be the one paying the bill.
Extra Member will be a good option for parents who live in a separate household to their son or daughter but want to pay for their streaming.
Alternatively, it could suit a small group of friends across different households where the account holder (the billpayer) is considerably more wealthy than everyone else.
Technically, Disney+ isn't stopping password sharing but monetizing it, just like Netflix has done.
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Extra Members won't have to live in the same household, but they will have to live in the same country, according to Disney.
Like Netflix, Disney may track the IP addresses of users to make sure Extra Members are in the same country.
Reports also suggest people who are signed up to Disney's cheapest tier ('Standard with ads' at £4.99/month) won't be able to add Extra Members – although Disney hasn't confirmed this.
Instead, only those signed up to 'Standard' (£7.99) and 'Premium' (£10.99) tiers will be able to add Extra Members, the reports suggest.
Extra Member may prove a good option for parents who live in a separate household to their son or daughter but want to pay for their streaming.
Alternatively, it could suit a small group of friends across different households where the account holder (the billpayer) is considerably more wealthy than everyone else.
The introduction of Extra Member is not surprising; in April,Disney CEO Bob Igersaid itwould soon be 'launching our first real foray into password sharing'.
Iger said it would be happening in 'just a few countries' in June before a full rollout in September, although it seems this has been delayed for unknown reasons.
Back in September,Disney+updated its subscriber agreementto prohibit password sharing, suggesting those who don't comply may be blocked from the platform.
In April, Disney CEO Bob Iger (pictured) said it would soon be 'launching our first real foray into password sharing'
Much to the annoyance of users in the UK, Disney+ overhauled its pricing system in November.
Up until then there had only been one price for Disney+ in the UK – £7.99 a month or £79.90 for an annual subscription.
But as part of the overhaul, Disney+ separated into three tiers – one for £4.99 per month, another for £7.99 per month and the third for £10.99 per month.
Crucially, the cheapest option, costing £4.99, plays adverts before and even during shows and movies.
Users were infuriated about having to pay to watch adverts, with one saying, 'Y’all telling me I gotta pay £8 a month to watch stuff on Disney+ ad free?'
Until November 2023 there had only been one price for Disney+ in the UK - £7.99 a month - but this single tier split into three tiers
Another posted on X: 'It’s really annoying to pay for a service and also have to watch advertising.'
Disney's announcement follows Netflix's crackdown on password sharing, which began in the US, UK, Australia and other countries in spring 2023.
If they have a Standard or Premium plan, Netflix account holders can 'invite extra members' onto their account at a cost of £4.99 per member.
Netflix recently revealed that the move has paid off, with profits soaring to a record £1.6 billion highfor the first three months of 2024.
Netflix is accused of 'pure greed' by furious users as the streaming giant ends its £6.99 ad-free tier
Netflixis angering customers once moreby killing off its cheapest ad-free subscription tier.
The streaming giant is telling users who are subscribed to its£6.99/$9.99 'Basic' tier that it will end on July 31.
Users are having to either upgrade to a more expansive tier or be forced to watch adverts.
Since July 2023, Netflix stopped new or returning users from signing up for 'Basic', although existing subscribers were still able to use it.
However, it's now being killed off for good - on July 31 - and users are not happy, accusing the company of 'pure greed'.
