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Disney will begin enforcing a ban on password sharing for Disney+ in September 2024, following Netflix’s successful strategy. Subscribers may face price hikes and the option to pay extra for sharing.
Key Points
- Disney will start eliminating password sharing on Disney+ in September 2024, expanding efforts to the U.S. and other countries.
- The crackdown is part of Disney’s strategy to boost subscriber growth, similar to Netflix’s successful approach.
- Disney plans to introduce an option for subscribers to pay extra to share their accounts with users outside their household.
- Disney+ will see price increases in October, with the ad-supported plan rising to $9.99 per month and the ad-free plan to $15.99.
- Disney+ originally launched in 2019 at a price of $6.99 per month, but prices have steadily increased since then.
Disney is gearing up to take a hard stance against password sharing on its Disney+ streaming service, with plans to begin enforcing the policy in September 2024. This move, announced by Disney CEO Bob Iger, comes as part of the company’s broader strategy to transform Disney+ into a growth engine for the entertainment giant.
“We’re going to start eliminating password sharing in earnest next month,” Iger said, indicating that Disney’s crackdown will soon reach the United States and other countries. Although Disney began implementing this ban in select regions earlier this year, the company’s efforts are now set to expand significantly.
This decision mirrors the approach taken by Netflix, which successfully ended multi-household password sharing in 2023. Netflix’s crackdown led to a notable increase in subscriber numbers, prompting admiration from Iger, who referred to Netflix as the “gold standard in streaming.” Iger expressed high regard for Netflix’s achievements and conveyed a desire for Disney+ to follow a similar trajectory.
To accommodate subscribers who wish to share their accounts with individuals outside their households, Disney plans to offer an option to pay an additional fee, although the specific pricing details have not yet been announced. This approach closely follows Netflix’s model, which allows users to maintain sharing capabilities for an extra cost.
In addition to the password-sharing crackdown, Disney has announced a series of price increases for its streaming services, including Disney+, Hulu, and ESPN+. Starting in October, the ad-supported version of Disney+ will cost $9.99 per month, up from the current $7.99, while the ad-free version will rise from $13.99 to $15.99 per month. These price hikes reflect Disney’s ongoing efforts to balance profitability with the need to invest in high-quality content.
Disney+ initially launched in 2019 with a competitive price of $6.99 per month, coinciding with the debut of Apple TV+. However, as the platform has grown in popularity and expanded its content library, prices have steadily increased, aligning with the industry’s evolving landscape.
As Disney+ prepares to implement these changes, subscribers will need to adapt to the new policies and pricing structures. The company’s focus on curbing password sharing and adjusting subscription costs underscores its commitment to sustaining long-term growth in a highly competitive streaming market.
