Netflix Reportedly Testing Software to Track Who Is Sharing Passwords

Person using Netflix on their television

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United Kingdom -based software maker Synamedia, which looks for potentially fraudulent activity, unveiled a new service at 2019 CES (Consumer Electronics Show) that uses machine learning to spot shared passwords.

But it is no secret that many users of the service share their password with family, friends or significant others so they can indulge in Netflix's deluge of content.

Software maker Synamedia said that the artificial intelligence system looks for potentially fraudulent activity.

It is expected anything from sending an email alerting the user to more premium account models that allow more than one person to access the service to a complete account ban entirely are possible repercussions.

If you like to Netflix and chill using someone else's password, we've got some bad news for you.

In fact, the company reported that almost 26 percent of millennials share their Netflix credentials, which it says could add to billions of dollars in losses for streaming services if left unchecked.

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"Casual credentials sharing is becoming too expensive to ignore", Jean Marc Racine, CPO and GM EMEA of Synamedia, said.

'Our new solution gives operators the ability to take action. A study from Parks Associates concluded that, by 2021, credentials sharing could account for $9.9 billion in losses for pay-TV revenues and $1.2 billion in OTT revenues.

The company, which sells many different products which all promise to monetize video-streaming, claims to "empower Pay TV operators to deliver new or augmented video services to drive revenues, boldly reach new markets, and deliver exceptional subscriber experiences to consumers".

'It's a great way to keep honest people honest while benefiting from an incremental revenue stream'.

The company says its software is clever enough to know if you're watching from your house or a holiday home.

Synamedia says the system has already begun trials, though no official release date has been set as of yet.

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