Disney will begin cracking down on password sharing for Disney+ accounts in June

If you’ve shared your passwords for Disney+, Hulu, ESPN+, with friends or family, Disney will begin cracking down on this issue this summer in June.

Disney’s streaming services will require you to pay for anyone outside of your primary household who is misusing the services… otherwise you risk being disconnected.

During an interview with CNBC, Disney chief Bob Iger, said that they will be “launching our first real foray into the password sharing application.” The initial launch will cover “only some countries in some markets, then will grow significantly with a full launch in September”.

The whole reason for this is so the company can make more money and reach “double-digit margins” in its streaming business in the long term. They hope to “achieve Netflix-like margins of 15%-20% by 2027.”

According to the updated subscription agreements for Disney+, Hulu and ESPN+: “Unless otherwise permitted by your service level, you may not share your subscription outside of your household.”

The term “household” refers to the set of devices “associated with the primary personal residence used by the people who reside there”.

The terms continue to say: “We may, in our sole discretion, analyze your use of your account to determine compliance with this Agreement. If we determine, in our sole discretion, that you have violated this Agreement, we may limit or terminate your access to the Service and/or take any other measures permitted by this Agreement.

Iger also spoke about combining Hulu with Disney+, saying, “We need technology tools to reduce churn and create more stickiness. These are things like recommendation engines, to get to know our customers better. We need to reduce marketing costs. Obviously we need to reduce the cost of customer acquisition to increase margins.

Via: Variety