Disney to Implement Tough Measures Against Account Sharing

The Walt Disney Co. is considering restricting account sharing for its streaming services, similar to Netflix's approach. CEO Bob Iger announced plans to update subscriber agreements with "additional terms" on sharing, followed by implementing strategies to drive monetization in 2024. Iger hinted at the significance of password sharing on Disney's streaming platforms. Netflix previously introduced a policy requiring sharing accounts among people in the same household, aiming to reduce widespread password sharing. Disney's direct-to-consumer segment, including Disney+, Hulu, and ESPN+, generated $5.5 billion in Q3 revenue with a 9% increase YoY, but Disney+ experienced a decrease in subscribers for the quarter. The company aims to make its direct-to-consumer business profitable by the end of fiscal 2024.