Netflix sent out a letter to its shareholders that showed the streaming giant’s 2022 Q4 profit growth and future plans.
In the letter, the company discussed the new pricing options and the other plans related to user accounts. Netflix said the recent launch of its cheaper ad-supported plan had brought in more paid subscribers.
Netflix also shared its plans about the ability of users to choose a membership that allows them to share their accounts with people outside of their households. This change is expected to take effect later in Q1 of 2023.
In its Q4 2022 letter to shareholders, Netflix reported having 231 million paid subscribers. Nonetheless, the streaming behemoth noted that over 100 million households are sharing accounts, which violates Netflix terms of use.
In the letter, Netflix said, “While our terms of use limit use of Netflix to a household, we recognize this is a change for members who share their account more broadly.” The letter continued, “As we roll out paid sharing, members in many countries will also have the option to pay extra if they want to share Netflix with people they don’t live with.”
