Disney Chief Bob Iger to Access Users' Shared Passwords in June
Disney Aims to Tighten Reins on Password Sharing, Starting in June 2024
Hey there! Disney plans to take a firm stance against password sharing for its streaming services, according to CEO Bob Iger. So, buddy, better start thinking twice about sharing your Disney Plus password from June 2024 onwards.
On Thursday, in an interview with CNBC, Iger stated that Disney would kick off its first crackdown on password-sharing this summer. The company will initially impose restrictions in selected countries and then gradually expand the measures worldwide in September, following the strategy employed by competitors like Netflix.
The Company's Resolute Stand Against Password Sharing
While Disney's plans to curb password-sharing among users have been under consideration for some time, Iger's recent comments suggest a more determined approach. As Iger revealed, the number of people sharing passwords in 2023 had become a significant issue for the company.
Given the company's projected profitability for its streaming business in the fourth quarter, cutting back on password sharing makes perfect sense. Although Disney Plus experienced losses of $4 billion a year at one point, Iger recently reported that the losses had been reduced to $130 million in the last quarter.
According to Iger, Disney aims to transform its streaming division into a growth engine for the company, boasting margins that shareholders will be satisfied with. To achieve this goal, Iger emphasized that improvements to recommendation engines, smarter decisions regarding show greenlights, reductions in customer acquisition costs, and password-sharing crackdowns would be necessary.
History Repeats: A Farewell to the Sharing Era
Disney's move to limit password sharing follows a similar trend among streaming services. Only two months ago, Disney Plus sent out emails to U.S. subscribers, informing them of impending restrictions on account sharing beyond the household. Meanwhile, HBO Max also plans to block password sharing this year.
In the face of these efforts by streamers, password sharing may soon become a memory of the past. Until then, we'll keep streaming our favorite shows while parting with our hard-earned cash. That's the deal, folks!
Fun fact: Hulu, Disney+, and ESPN+ have already started restricting password sharing from March 14, 2025, not in June 2024 as initially mentioned. But don't worry; we'll keep you posted on any updates related to Disney's password-sharing policies. Stay tuned!
- In the future, Disney intends to use technology to monitor and restrict password sharing for its streaming services, starting in June 2024.
- As competitors such as Netflix have already implemented similar measures, Disney's move to tighten password sharing is a part of a larger trend in the streaming industry.
- By cracking down on password sharing, Disney aims to boost its streaming division's profits and transform it into a growth engine, increasing shareholder satisfaction.
- In light of Disney's resolution to combat password sharing, tech-savvy sharers might have to find new ways to watch their favorite Disney shows starting in June 2024.
