While some users canceled their Netflix accounts after a crackdown on password sharing commenced, it seems like the move is paying off for the company. According to data from analytics firm Antenna, Netflix saw a sharp rise in account sign-ups after the rule came into force in the US and many other regions in late May.
Antenna says Netflix had the four single biggest days of US sign-ups in the four and a half years it has tracked this data. On May 26th and 27th, there were almost 100,000 sign-ups each day. During each of the four days, the company saw an average of 73,000 new memberships, according to Antenna, which noted that figure was 102 percent more than the average for the previous 60 days.
While account cancellations also rose in that period, Antenna said sign-ups far outpaced those figures. This was the biggest increase in new Netflix account sign-ups in the US since COVID-19 lockdowns began in March and April of 2020, Antenna noted.
It's worth bearing in mind that this is not official data from Netflix. We'll have a clearer idea of how account sharing changes are starting to impact Netflix's bottom line when the company reports its next quarterly earnings, likely in mid-July. However, as Yahoo Finance notes, Netflix's share price rose after Antenna released the data. Netflix declined to comment to Engadget regarding Antenna's analysis.
Netflix started cracking down on account sharing on a trial basis in Latin America before implementing the new rules in Canada, New Zealand, Portugal and Spain in February. In the US, subscribers now need to pay an extra $8 per month for viewers who access the account from outside the primary household, though you can still watch when you're away from home. Users have the option to transfer an existing profile to a new account to keep all their preferences and data intact.
Update 1PM ET 6/9: Added Netflix's response to a request for comment.