If you currently share your Netflix password with someone you do not live with, this could affect you.
- Netflix says sharing accounts impacts the company's ability to invest in new content
- In a trial to begin in South America, users will be charged an extra $4 a month in some cases to add "sub-accounts"
- The company has seen a softening in subscriber growth as a result of so much competition
Netflix is trialling a system in some countries where users will pay more if they share their accounts with people who do not live in the same home.
In a blog post, director of product innovation Chengyi Long linked the ability of Netflix to fund its original TV and film projects to the money users pay to subscribe to the service.
"We've always made it easy for people who live together to share their Netflix account, with features like separate profiles and multiple streams in our Standard and Premium plans," Ms Long wrote.
"While these have been hugely popular, they have also created some confusion about when and how Netflix can be shared.
"As a result, accounts are being shared between households — impacting our ability to invest in great new TV and films for our members."
Netflix will begin its trial in Chile, Costa Rica and Peru — charging users an additional $4.05 a month in some cases to add as many as two people to "sub-accounts".
The other option is for people who already share an account to transfer their profiles to a new one.
"We'll be working to understand the utility of these two features for members in these three countries before making changes anywhere else in the world," Ms Long added.
A Netflix subscription in Australia ranges from $10.99 a month for a basic plan to $22.99 a month for premium.
But there are lots of streaming services to choose from — and with so much competition, Netflix has seen a softening in subscriber growth.
It was just below target when it ended last year, with 221.8 million subscribers, after booming during lockdowns brought on by the pandemic.
This year's first quarter is shaping up to not look much better with the most-recent earnings report indicating that Netflix expects to only add 2.5 million subscribers.
The US-based streaming service added most of its additional subscribers last year from outside North America.
ABC/wires