Max to Crack Down on Password Sharing with “Firmer” Messaging
Max, the streaming platform from Warner Bros. Discovery, is gearing up to take a more assertive stance on password sharing, moving beyond gentle reminders to a more direct and potentially restrictive approach. JB Perette, the CEO overseeing Max, announced to investors that the streamer plans to implement “firmer and more visible” messaging regarding password sharing in the coming months, signaling a significant shift in strategy.
Currently, Max employs a relatively lenient approach, primarily relying on occasional reminders to discourage users from sharing their passwords with individuals outside their households. However, this approach is expected to evolve into something “more assertive” in the second half of 2025 and further intensify into 2026. The move suggests that Max is preparing to take concrete steps to curb password sharing and encourage unauthorized users to subscribe independently.
This announcement follows Max’s recent introduction of an "extra members" feature, which allows subscribers to add users outside their household to their accounts for an additional fee of $7.99 per month per member, mirroring Netflix’s existing model. While the option is available, the streamer has yet to aggressively enforce its password-sharing policy, leading some to advise against paying for extra members until stricter measures are implemented.
The details of Max’s forthcoming "firmer and more visible" messaging remain undisclosed. Perette refrained from providing specific details regarding the implementation of the new password-sharing rules. However, scrutiny of Max’s terms of service offers potential clues regarding the range of actions the streamer could take.
According to the terms, Max reserves the right to "modify access or disable features, including for security reasons, to limit the impact of account sharing outside of your household or where we have concluded in our discretion that there has been misuse of your Max Account." While these measures represent the extreme end of the spectrum, they highlight the potential actions Max could take to combat password sharing.
However, it remains uncertain whether Max will resort to such drastic measures. Currently, no major streaming service has employed such restrictive tactics.
The decision to ramp up the crackdown on password sharing comes at a time when both Warner Bros. Discovery and Netflix are experiencing positive financial performance. Warner Bros. Discovery reported subscriber and revenue growth that exceeded Wall Street’s expectations in its first-quarter 2025 earnings report. Netflix reported even more impressive results, with a 13% surge in revenue during its most recent quarter.
Given this upward trajectory, it’s possible that Max will opt for a more moderate approach to password sharing, focusing on subtle restrictions rather than outright blocking. The company may choose to limit the number of devices that can simultaneously stream content on a single account, or it may implement geo-blocking measures to prevent users from accessing the service from different geographical locations.
The move to crack down on password sharing is likely motivated by a desire to increase revenue and subscriber numbers. By encouraging unauthorized users to subscribe independently, Max aims to expand its subscriber base and generate more revenue.
However, the decision also carries potential risks. Aggressive enforcement of password-sharing policies could alienate existing subscribers and prompt them to switch to rival streaming services. Furthermore, implementing overly restrictive measures could lead to negative publicity and damage Max’s brand image.
The streaming landscape has been grappling with the password-sharing dilemma for years. Streaming services have historically turned a blind eye to the practice, recognizing that it contributed to their initial growth. However, as the streaming market becomes increasingly competitive, these services are under pressure to maximize their revenue and profitability.
Netflix was one of the first major streaming services to crack down on password sharing. In 2023, the company began implementing measures to prevent users from sharing their accounts with individuals outside their households. These measures included requiring users to verify their devices and charging extra for additional members.
Netflix’s crackdown on password sharing has been largely successful, with the company reporting a significant increase in subscriber numbers and revenue. However, the move has also faced criticism from some users, who argue that it is unfair and inconvenient.
The effectiveness of Max’s password-sharing crackdown will depend on the specific measures the streamer implements and how aggressively it enforces them. If Max strikes the right balance between revenue generation and subscriber satisfaction, it could successfully curb password sharing without alienating its user base.
Ultimately, the future of password sharing on Max remains uncertain. However, it is clear that the streamer is preparing to take a more assertive stance on the issue. Whether this will lead to a full-blown IP block or a more nuanced approach remains to be seen. Only time will tell whether Max’s password-sharing crackdown will be a success or a failure.
The industry is keenly observing Max’s next moves, as the streaming wars continue and companies search for ways to boost profitability and secure their market share in an increasingly competitive digital landscape. The crackdown on password sharing represents a key battleground in this ongoing struggle.
