Disney is following Netflix’s lead by cracking down on password sharing for its streaming services.
In an email sent to Hulu subscribers, Disney announced that it would begin “adding limitations on sharing your account outside of your household” starting March 14.
The user agreements for Hulu, Disney+, and ESPN+ explicitly prohibit users from impersonating others by using their username or password.
The terms state, “You agree not to impersonate or misrepresent your affiliation with any person or entity, including using another person’s username, password, or other account information.”
These agreements, last updated on January 25, include language regarding password sharing, although it’s unclear exactly when this language was added for Disney+ and ESPN+.
Disney reserves the right to analyze users’ accounts to ensure compliance with password-sharing rules, and violators could face limitations or termination of their accounts.
Disney CEO Bob Iger had hinted at addressing password sharing as a priority in 2024 during an earnings call in August. He expressed the belief that addressing this issue could help grow the company’s business.
Iger is expected to provide further details on Disney’s plans to tackle password sharing during the fiscal first-quarter earnings call on February 7.
Disney’s move comes after Netflix successfully cracked down on password sharing, resulting in a surge of new subscribers as “borrowers” were encouraged to create their own subscriptions.
Netflix recently announced a record number of subscribers in the fourth quarter, indicating the effectiveness of its password-sharing crackdown.
Source-CNN