HBO Max Intensifies Password Sharing Crackdown Starting September

HBO Max is set to implement a stricter approach to password sharing, significantly impacting how users access their accounts. During a recent earnings call, JB Perette, head of streaming at Warner Bros. Discovery, announced that prompts regarding account sharing will become more frequent beginning in September 2023. Users will be encouraged to pay an additional $7.99 per month to add extra members to their accounts.

Perette explained that the current messaging around account sharing has been relatively lenient, allowing users to cancel prompts at will. “In September, you’ll actually start to see the messaging — which right now has been a fairly soft, cancelable messaging — start to get more fixed and such that people have to take action,” he stated. Currently, the process for paid sharing is voluntary, but this is expected to change as HBO Max tightens its policies.

This initiative follows similar actions taken by competitors like Netflix and Disney Plus, both of which have introduced measures to combat password sharing in recent years. Warner Bros. Discovery first announced plans to enforce paid sharing last year, but until now, it has relied on “soft messaging” to inform users about potential changes.

In the wake of its rebranding from Max to HBO Max, the streaming platform has successfully gained 3.4 million subscribers. Perette noted that the company plans to promote paid sharing “in a much more aggressive fashion” later this year, aiming to capitalize on this subscriber growth.

HBO Max currently utilizes various methods to detect unauthorized account sharing. These methods include analyzing account information, IP addresses, device IDs, and user activity. The intention is to ensure that only individuals within the same household can share accounts without facing penalties. The executives at Warner Bros. Discovery anticipate that the introduction of paid sharing will lead to increased subscriber numbers, similar to the growth reported by Netflix following its own password-sharing restrictions.

As the streaming industry grapples with subscription fatigue, the response from users to this new policy remains uncertain. The decision to charge for additional account members may not sit well with all subscribers, potentially impacting user satisfaction and retention in the long run.