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Netflix Announces Crackdown on Account Sharing Across the US

Netflix is taking its fight against account sharing to the US as the streaming giant plans to launch paid account sharing in the country in the second quarter. The add-on, which has been offered in Canada, New Zealand, Portugal, and Spain since February, allows primary account holders to pay an additional monthly fee to share their Netflix service with up to two people outside their household. While secondary users can convert their profiles into new accounts, Netflix emphasizes that sharing should only be done within the same household.

The move comes as Netflix estimates that more than 100 million non-paying households have access to its service through free account sharing, limiting the company’s ability to invest in new content. Despite the potential for cancelations, Netflix plans a broad rollout of paid account sharing in the US. This announcement also coincided with Netflix’s announcement that it will discontinue its DVD rental business in September.