If Netflix does it, the rest follow.
In April 2025, Warner Bros. Discovery, the latest major streaming platform, announced a password-sharing clampdown. This move was marked by the introduction of their “Extra Member Add-On” feature for U.S. Max subscribers, effective from the same date. For an additional $7.99 per month, regardless of the tier chosen for the primary account, an extra user can be added. This fee is just one dollar more than Netflix’s groundbreaking program’s entry-level price and a dollar less than Netflix’s ad-free add-on.
Warner Bros. Discovery’s streaming chief, JB Perrette, announced two significant improvements, Extra Member Add-On and Profile Transfer, to enhance the user experience and provide more value. These updates allow subscribers to effortlessly add another member to their account or seamlessly transfer their profile to a new user, ensuring uninterrupted access to Max’s top-tier content for additional household members.
On Thursday, May 8, 2025, during our first quarter-earnings conference call, I, David Zaslav, announced that the password-sharing restriction initiative my team and I are spearheading will require a period of 12 to 18 months to be fully implemented. We’re gearing up for a full steam ahead approach.
Or, in a more conversational tone:
On May 8, 2025, during our first quarter-earnings call, I let everyone know that the password-sharing restriction initiative my team and I are working on will take about 12 to 18 months to fully roll out. We’re getting ready to give it all we’ve got!
As a devoted fan, I can’t help but feel excited about the potential surge in subscribers and average revenue per user due to the introduction of an additional member benefit, as stated by Zaslav.
Zaslav emphasized that ‘content’ is essentially the driving force behind everything,” he explained, and indeed they possess an abundance of it.
As a devoted fan, I couldn’t help but echo the excitement of Zaslav when he spoke about Casey (Bloys) and the team’s meticulous work over the coming 18-24 months. He asserted that what they’ve put together surpasses anything we’ve seen before in terms of strength and consistency, paving the way for another period of growth.
As a gaming enthusiast, I’m all about streaming the best shows, and my go-to platform is Max. It’s jam-packed with HBO content and an impressive chunk of Discovery+ series. Among the fantastic originals they offer, you’ll find gems like “Hacks,” “The Pitt,” and “And Just Like That…” and many more to keep me entertained.
Netflix has seen substantial growth in membership and profits due to their “paid sharing” feature, which Disney+ has also adopted. As Zaslav pointed out, it takes time to announce a new income source and effectively monetize it.
The strategy proved highly effective for Netflix and appears to have had favorable outcomes for Disney as well. However, the smaller the streaming service, the less significant its influence might be. Moreover, the time frame of 12-18 months is longer than the period Netflix observed following their implementation.
Here is where you can discover all the information you’ve been curious about regarding the recent Max password-sharing restrictions, and you can access Warner Bros. Discovery’s Q1 earnings report here.
Alex Weprin contributed to this report.
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2025-05-08 16:54