The move by Netflix to stop people from sharing passwords is paying off.
The video-streaming giant said on Wednesday that it added 5.9 million paying accounts in the quarter that ended on June 30. This brings the total number of paying subscribers around the world to just over 238 million.
The news backs up data from a study firm from last month, which showed that Netflix’s move against account sharing was increasing the number of people who signed up for the service.
The increase was bigger than projected, and it came after a time when growth was slow because of the pandemic. More pressure is being put on household budgets, and there is more competition in the video-streaming market.
However, Netflix’s decision to crack down on people who share their passwords with people outside their homes seems to have been a good one, as many of those who borrowed passwords set up their accounts.
In other changes revealed on Wednesday, Netflix said it was getting rid of its ad-free Basic tier in the U.S. and U.K., giving subscribers the choice of Standard with Ads for $7 a month, Standard for $15.50 a month, or Premium for $20 a month. It just did the same thing in Canada, and it may do the same thing in other markets soon. Digital Trends has everything you need to know about the features and prices of each tier.
Netflix made $8.19 billion in the second quarter, which is a 3% rise from the same time last year when it made $7.97 billion. The net income was $1.49 billion, which is more than the $1.44 billion it was the year before.
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