Disney + Hotstar Restricts Account Sharing Following Netflix Password Sharing Crackdown

HIGHLIGHTS

* After Netflix, Disney+ Hotstar plans to implement account sharing to only four devices.
* The company has internally tested enforcement of the policy and it plans to implement it later this year.
* Currently, Disney+ Hotstar allows users to log in to as many as ten devices.
* The move comes as streaming giant Netflix took similar action in May.
* Disney is also reportedly exploring options to sell or find a joint venture partner for its India digital and TV business.

After Netflix, another streaming giant in India is making password sharing difficult for users.

As per reports, Disney+ Hotstar, is taking steps to limit password sharing among its premium users. The report mentions that the company plans to enforce a new policy which will allow premium users to log in from only four devices.

This move comes as a measure to address the issue of password sharing, particularly in a significant market for Disney.
As per Reuters, Disney is following the footsteps of Netflix.

Back in May, Disney’s streaming rival, Netflix, had already implemented a similar policy in more than 100 countries. They informed subscribers that sharing the service with people outside their household would require an additional payment.

In India premium service of Disney+ Hostar still allows login to up to ten devices, even though the website says that a number of devices can be logged in as four.

As per the information available Disney+ Hostar has internally tested enforcement of the policy and the company plans to implement the same later this year in order to limit logins to only four devices.
If the company implements account sharing, some people will need to buy their own subscriptions with new restrictions in place said the sources.

Initially, Disney had hoped that by not strictly enforcing the four-device login policy, the company would attract subscribers who could decide to buy their individual accounts after trying the service via password sharing.

Streaming giants such as Disney, Netflix, Amazon, and JioCinema have gained immense popularity in India, and the streaming market is expected to grow into a $7 billion market by 2027, as per Media Partners Asia.

The current industry data indicates that Hostar is the market leader in terms of users which has approximately 50 million subscriber base.

While speaking on the account sharing, a second source said that Disney+ Hotstar in India did not enforce the four-device login policy as the company did not want to inconvenience premium users.

The company had detected internally that only around 5% of its premium subscribers logged in from more than four devices.
Furthermore, the second source also added that the planned restriction will also apply to its cheaper plan which will limit usage across two devices.

Data obtained from research firm Media Partners Asia revealed that Disney’s Hotstar topped India’s streaming market between January 2022 and March 2023 which secured a 38% share of viewership, whereas rivals Netflix and Prime Video held 5% each.

Apart from limiting the login to four devices, Disney+ Hostar is also in initial discussions to explore options to sell or find a new venture partner for its India digital and TV business as per sources.

Apart from the device login policy, Walt Disney is exploring potential options for its India digital and TV business.

Internally, the company is engaged in discussions to find a joint venture partner or explore the possibility of selling the business, according to a source with direct knowledge.
This highlights Disney’s efforts to adapt and expand its presence in India’s rapidly growing streaming market.

The streaming industry in India has become fiercely competitive, with Disney, Netflix, Amazon, and JioCinema vying for viewership.
India has emerged as a crucial market for streaming services.

Faqs

1) What are Media Partners Asia Estimate for Indian Streaming Sector ?

Ans) Media Partners Asia estimates that the Indian streaming sector could grow into a $7 billion market by 2027. Currently, Disney+ Hotstar holds a dominant position in the market, with approximately 50 million users, making it the market leader in terms of viewership share.

During the period between January 2022 and March 2023, Disney’s Hotstar accounted for 38 per cent of the streaming market in India, while rivals Netflix and Prime Video had 5 per cent each, as per data from research firm Media Partners Asia.

2) How many logins can a premium Disney + Hotstar Account do ?

Ans) In India, a premium Disney+ Hotstar account currently allows logins on up to 10 devices, even though the website states a limit of four.

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