Technology

Disney+ password sharing ban: details, costs and dates

Published

2 weeks ago

July 31, 2024

Disney has been making it clear for some time that password sharing will eventually become a thing of the past on its streaming platforms – which are Disney+, Hulu and ESPN+.

Netflix’s decision to limit account sharing marked a significant change in the streaming world. It appears the company has set a precedent, as Disney is now looking to implement similar measures. Now more news of the crackdown is coming to British shores.

Here you will find all information about upcoming changes. If you want to see the rules for using Netflix, check out our piece on Netflix’s approach to password sharing.

We have a similar article about password sharing restrictions on Max.

At the end of July, Disney+ updated its subscriber agreement in the UK with details of ‘Additional Members’ – this was first spotted by Cordbusters.

The general terms and conditions state the following:

Because the Additional Member Feature is in addition to Subscriber’s Service Plan, the Additional Member Feature cannot exist independently… The Additional Member receives a subset of functionality/features available to Subscriber under its Service Plan.

This means that main account holders have the right to terminate Additional Members on their accounts. It could also indicate that additional subscriptions may offer more limited features than a normal subscriber, although we don’t know the exact details yet.

The other important things Disney didn’t mention are how much these new Extra Members will cost and what date they will go into effect.

However, it does say that it will contact users with a new subscriber agreement, and they will have 30 days from then for the changes to take place. Since the agreement is already on Disney’s website, we assume communications will be sent out soon.

During an interview on CNBC, Disney CEO Bob Iger said that password sharing restrictions on Disney+ will be implemented in several countries in June. The Disney chief did not specify exactly which countries he was referring to.

However, Iger explained that the full rollout of the new policy will take place in September 2024. The new UK subscriber deal could indicate this could be sooner, or Disney is spreading the rollout across the world.

The first rumors about password sharing restrictions on Disney+ appeared as early as August 2023. Since then, CNN reported that Hulu had emailed subscribers in late January 2024 informing them that the restrictions would come from March 14, 2024.

Currently, Hulu prevents people who don’t live in the same household from sharing accounts.

Hannah Cowton / Foundry

Those who illegally share passwords will see a message telling them to create their own account to access the service.

However, it is possible to add a member from outside the household to use one account, but this will incur an additional charge. For now, Disney hasn’t confirmed how much it will be.

Under the new UK Subscriber Agreement, these users will have their own profiles and logins, and must live in the same country as the main account holder. The cost of these Additional Members will be added to the main subscriber bill and users must sign up directly through Disney+.

The Additional Member can cancel his/her account at any time, and main account holders can also close access. Additionally, the agreement seemed to suggest that users may have limited features – this is similar to Netflix, which does not allow simultaneous streams.

The new restrictions are obviously intended to help Disney make more money after a decline in paying members — the streamer lost 300,000 subscribers in the US and Canada during its most recent financial quarter.

CEO Bob Iger hopes the new regulations will increase the number of subscribers, as has happened in the case of Netflix (via The Wrap).

We already have the technical capabilities to monitor a lot of this, and I’m not going to give you a specific number other than to say it’s significant. We’ve certainly made this a real priority and we actually think there’s an opportunity here to help us grow our business. Going forward, I think three companies will drive the greatest growth and value creation over the next five years.

If Disney uses the same methods as Netflix, it will use a combination of IP addresses, device IDs and account activity to determine where the primary account holder is located, and block other streaming uses.

The message sent to Canadian subscribers stated that Disney “…will limit or terminate access to the Service and/or take other actions as permitted by this Agreement.”