Comment Do crackdowns work or not? (Score 3, Interesting) 21
The article is all over the place with its analysis: On the one hand, it writes "The caveat is that password crackdowns do not lead to consistent growth, and they often infuriate subscribers". Then immediately follows up with "There’s typically one big wave of new users who were previously sharing an account before the streamer plateaus to its new normal. Netflix, for example, saw 9 million more subscribers after its first wave of password crackdowns in 2024".
9 million users might not be consistent on-going growth, but that represents 9 million new paying users. Do they stay users? If so, then 9M x $8 (or more) per month represents $72M per month, or $864M per year. Maybe that's a one-time bump in user counts, but that's a significant number.
I imagine that HBO looked at the results of Netflix and Disney+ password crackdowns and is seeing that it was successful in raising subscribers and revenue. "Infuriating users" isn't an important metric if those users were never going to pay anyway.