Netflix To Crackdown On Netflix Password Sharing

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Company uses AI to catch people sharing Netflix passwords with friends

Many people are comfortable sharing their Netflix and other streaming service passwords with friends, however the popular streaming company is looking to crack down on account sharing.

At the CES this year, the UK-based firm unveiled a new service that utilizes machine learning to spot shared passwords.

Synamedia Credentials Sharing Insight is available as a cloud or on-premise offering.

The company pointed to research that about one in four millennials give other people their credentials for video screaming services. That may be the case for accounts with credentials that have been sold off to many users online. "It allows operators to turn casual sharing into incremental revenue, as well as detect and apply enforcement procedures on fraudulent, for-profit credentials sharing accounts". The system can nonetheless work out if the logins occur when the user is on a holiday or the password is shared with a family member who lives away from home.

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Synamedia called password sharing between friends and family members "casual sharing", a common practice that Netflix CEO Reed Hastings once described as a positive thing since people who do this are likely to become paying subscribers of the service. For example, it will notice if two different households are clearly unrelated, such as different tastes and geographical location, yet are still sharing a password.

A London based company named Synamedia which intends to empower Pay TV operators and video streaming websites is planning to launch an AI-based service to crack down on password sharing.

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

Racine says that Synamedia's machine learning approach, which notes always-evolving "consumption patterns", is more flexible than a hard-coded algorithm that has to be updated manually and often. 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.

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