Netflix steps up password sharing crackdown, despite backlash

Netflix NFLX has stepped up its crackdown on password sharing, even as the backlash comes from users.

The updates will be available in more countries in the coming months, including Canada, New Zealand, Portugal and Spain, according to the streaming platform.

This comes after an update appeared on Netflix's help center last week showing how the company would require users to identify a primary location for all accounts within the same household. At the time, the information was only applicable to the test countries, which included Chile, Costa Rica, and Peru.

In its quarterly letter to shareholders published last month, Netflix said it would strengthen its push to combat password sharing in Q 1, although the streamer didn't say when exactly that would occur and what countries would be affected.

We expect to start rolling out paid sharing more broadly in Q1, later in the year. Today s widespread account sharing of 100 M households undermines our long term ability to invest in and improve Netflix, as well as build our business, the company wrote.

As competition in the streaming space escalates, Netflix's password crackdown and its ad-supported tier have been looked at as profitable drivers for profitability. As always, our north stars are pleasing our members and building even greater profitability over time. As part of Wednesday's announcement, the company reiterated its commitment to customer service, but once again warned that a Netflix account is only meant for one household: We value our members and recognize that they have many entertainment choices. A Netflix account is intended for one household and members can choose from a range of plans with different features. Members can still watch Netflix on their personal devices while they travel or log into a new TV, like at a hotel or holiday rental.

As Yahoo Finance covered this story, our inbox has become flooded with users concerned about some of the new requirements.

Alexandra is a senior entertainment and media reporter at Yahoo Finance. Follow her on Twitter and email her at alexandra.canalyahoofinance.com.