Disney to Enforce Stricter Password Sharing Rules for Disney+

Disney is taking a stand against password sharing for its streaming service Disney+ in an effort to boost signups and revenue. Following in the footsteps of its sister streaming service, Hulu, Disney+ will begin enforcing stricter rules on password sharing in some countries in June, with more widespread enforcement starting in September. The terms of service for Disney’s streaming services already prohibit customers from sharing their login information, but the policy has not been heavily enforced until now.

The crackdown on password sharing comes after Netflix saw a significant increase in signups due to its own policy change. Netflix serves as a model for Disney, which hopes to achieve similar results by enforcing stricter password sharing rules. CEO Bob Iger expressed admiration for Netflix’s success and believes that cracking down on password sharing will help move Disney+ towards profitability. He also mentioned that Disney+ has taken steps to consolidate its streaming business, though the specifics of this consolidation were not provided.

The decision to enforce password sharing rules more strictly was anticipated for some time. Iger had previously mentioned on an earnings call that cracking down on password sharing was a priority for Disney and that it could help the company grow. As Disney aims to compete with industry leaders like Netflix, enforcing password sharing rules will be a crucial step in increasing revenue and signups for Disney+.