YouTube Temporarily Halts Family Premium Subscriptions if Viewing isn't Originating from the Same Location
In a move to curb password sharing and generate additional revenue, YouTube, along with streaming giants like Netflix, Disney Plus, Max, Amazon, and others, have started enforcing policies to limit the sharing of premium services. One of the latest developments in this regard is YouTube's introduction of a two-household plan, offering a discount for those who wish to share their subscription.
According to the new policy, YouTube Premium and Music accounts will cost $23 per month, and a household can add up to five family members to a Premium membership through the family plan. This plan is set by Google, which enforces household-based rules for family subscriptions to prevent misuse of the services.
The enforcement of password sharing policies is not limited to streaming services but applies to any subscription service. This move comes after reports of users receiving notices about a 15-day pause of their premium service due to policy violations.
Carl Lepper, Senior Director of Technology, Media & Telecom (TMT) Intelligence at JD Power, suggests that limiting password sharing can lead to more subscribers. However, he also notes that companies must balance enforcing their policies without alienating existing customers or potential customers.
Enforcing password sharing policies requires time and resources from streaming companies. For instance, Amazon is ending its Prime Invitee benefit-sharing program on Oct. 1. Netflix, too, introduced an $8 fee for account sharing with one other person.
Despite the enforcement, the long-term effectiveness of these policies is uncertain, according to Lepper. He also points out that users who lose premium privileges can still stream on YouTube or listen to music with ads.
To attract new users, YouTube offers a one-month trial for its Premium and Music accounts. Moreover, family members sharing a YouTube family plan must live in the same household as the family manager. Groups can only be changed once every 12 months.
The regulation restricting the shared use of YouTube Premium or YouTube Music accounts is set by Google, which aims to recover revenue lost due to unpaid use of premium accounts. Despite the challenges, it seems that the streaming landscape is undergoing a significant shift towards more structured and controlled sharing practices.
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