Netflix to Charge a Fee for Additional Home Usage in Five Latin American Countries
2022.07.19 00:25
Netflix to Charge Customers in Five Latin American a Fee For Additional Home Usage
By Davit Kirakosyan
According to a report from Bloomberg News Monday afternoon, Netflix, Inc. (NASDAQ:NFLX) will ask customers in five Latin American countries to pay a fee if they use an account for more than two weeks outside of their primary residence. The company tests another method to charge for password sharing, which it considers one of the primary reasons for its flagging subscriber growth. It lost 200,000 customers in Q1, and estimate it would lose 2 million more in Q2. The company has said that more than 100 million households are using accounts paid for by other people.
Customers in Argentina, El Salvador, Guatemala, Honduras and the Dominican Republic will be asked to pay an extra fee of 219 pesos ($1.70) in Argentina and $2.99 in the other countries if they want to use their account in an additional home.
Shares of Netflix closed up 1% on Monday but remain down sharply on the year. The company reports earnings after the close Tuesday.
