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After testing the tech overseas for almost a year, Netflix has started cracking down on password sharing in Australia. Netflix accounts will be locked to a primary location, and subscribers who want to keep sharing a password with someone living outside of their home will need to pay extra to do so.

Netflix subscribers will start receiving warning emails from today, stating that their account is for them and the people they live with. For users sharing a password with someone else, the streaming giant suggests transferring the profile to a membership they pay for, or buying an extra member for $7.99.

A single extra member can be added to a Standard Netflix account, while two extra members can be added to a Premium Netflix account. Extra members will only be able to stream at the same quality as the parent account, but only on one device at a time.

The extra member is paid for by the primary account holder, rather than being billed individually. Extra members need to reside in the same country as the primary account holder.

Here is a breakdown of Netflix's current pricing:

Netflix prices in Australia

Basic with AdsBasic Standard Premium
Price per month $6.99$10.99 $16.99 $22.99
Resolution 720p720p 1080p Up to 4K 
Simultaneous streams 11 2 4
Offline download devices 01 2 4
Extra accounts 00 1 2

Netflix says customers can still the service while travelling, but devices need to connect to the network at the primary account at least once per month. This could prove to be a frustration for anyone on longer trips.

Users in other markets where password sharing was first tested reported technical issues where the service thought they were streaming in two different locations because they were using a range extender. It is unclear whether these issues have been resolved.

Netflix's crackdown on account sharing is one of its key initiatives for driving growth. In its most recent shareholder update, the company said it has been pleased with the results in markets such as Canada, New Zealand, Spain, and Portugal.

Netflix said that there's a "cancel reaction" in each market when it announces the news, but that it has seen increased customer acquisition and revenue over the long term.

The United States and the United Kingdom are also subject to Netflix's password sharing crackdown from today.


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