The crackdown on password sharing just got more aggressive. Disney is starting to hone in on the practice as its streaming service Hulu just warned customers that it is “adding limitations” on users sharing their accounts outside of their household, according to an email sent to customers on Jan. 31 informing them of updates to its Subscriber Agreement.
“We’re adding limitations on sharing your account outside of your household, and explaining how we may assess your compliance with these limitations,” said Hulu in the email.
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Hulu informed users that the new terms will be applied on Jan. 25 for new subscribers, and will be effective on March 14 for “prior and existing subscribers” unless they acknowledge the changes earlier.
Disney’s streaming services ESPN+ and Disney+ also updated their subscriber agreements on Jan. 25.
“You agree not to impersonate or misrepresent your affiliation with any person or entity, including using another person’s username, password or other account information, or another person’s name or likeness, or provide false details for a parent or guardian,” read the agreement. “You agree that we may take steps to verify the accuracy of information you provide.”
Many users are not welcoming the change from Hulu with open arms as they took to X to express their displeasure with the crackdown.
Hulu updating its agreement to limit people from sharing is going to backfire. I don’t think these companies think people won’t cancel in mass numbers
— MsLeoVenus (@_laashleyyy) February 1, 2024
Hulu is about to crack down on password sharing.
I think we owe cable an apology cause this is getting out of hand.
— Sam Sirmons (@therealsix5) February 1, 2024
always thought @hulu was better than Netflix and now they’re falling to Disney’s greed, which is NOT SURPRISING
But in case you didn’t know, you are now just like Netflix, which means you suck and I should be able to share my password with whoever I want
— Laura ☀️ (@lauralorlaur) February 1, 2024
The news comes after Netflix issued its own eradication of password sharing last year to the dismay of many users. Last May, the streaming service began offering users enrolled in its Standard and Premium plans the option to add extra members to their accounts for an additional $7.99 a month on top of their usual monthly subscription fee. The move from Netflix turned out to be successful as the company saw a boost in new subscribers.
Last year, Disney CEO Bob Iger warned analysts of the upcoming crackdown on password sharing in an earnings call in August on the company’s third-quarter earnings.
“We are actively exploring ways to address account sharing and the best options for paying subscribers to share their accounts with friends and family,” said Iger on the call. “Later this year, we will begin to update our subscriber agreements with additional terms on our sharing policies. “
Netflix, Disney+ and Hulu are some of the top streaming services that have the highest percentage of users who share their account passwords with others, according to a recent survey from Secure Data Recovery which polled Americans in every U.S. state.
Netflix is No. 1 in that category as the survey found that 24.8% of its users borrow passwords. Disney+ is No. 2 as 19.1% users password share, and Hulu is No. 4 with 17.2%.
The survey also found that 69% of Americans have “used someone else’s login for a streaming service in the past,” and 80% of Americans don’t view password sharing as stealing.
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