Max's streaming password-sharing crackdown begins from 2025
As streaming giants tighten the reins on account-sharing, Warner Bros. Discovery’s streaming service, Max (formerly HBO Max), is joining the growing list of platforms restricting password sharing.
This week, during Warner Bros. Discovery’s Q3 earnings call, CEO David Zaslav and CFO Gunnar Wiedenfels confirmed that it will soon begin the initial phase of a password crackdown which would begin with “very soft messaging” to prepare subscribers for the shift.
Max’s decision to tackle password sharing comes as the company searches for new ways to generate revenue from its 110 million-strong subscriber base. Zaslav noted that limiting account sharing will allow Warner Bros. Discovery to bring in more revenue from existing users without directly raising prices. However, hints from executives suggest that an eventual price increase isn’t off the table.
Max’s approach to cracking down on password sharing will start slow. In the coming months, Max users can expect to see subtle in-app messages or email prompts suggesting that they sign up for their own accounts or pay a fee for logging in from multiple locations.
This soft-touch approach is strikingly similar to Disney+ and Netflix’s tactics, where both companies gently messaged users before moving forward with full enforcement.
Wiedenfels hinted that this gradual push might ramp up as we get further into 2025 and 2026, signalling a more serious approach on the horizon. So, while sharing an account with a friend may still be possible for now, it could soon be a thing of the past.
As I previously mentioned, Netflix and Disney+ have already paved the way for Max’s approach. Netflix’s 2023 campaign against password-sharing initially drew strong backlash but ultimately led to higher revenue of $9.37 billion in Q2 2024 and a surge of 9 million subscribers after its crackdown. Meanwhile, Disney+ managed to maintain its subscriber base despite early user concerns after its September crackdown.
For all the initial grumbling, it appears that these changes don’t hurt streaming platforms as much as anticipated; in fact, they might be becoming the new industry standard.
As if the password-sharing crackdown isn't enough, there seems to be a price hike on the horizon - again! Wiedenfels hinted that Max’s premium nature could justify a price hike down the line. Max’s last price increase took place in June, raising the ad-free tier from $15.99 to $16.99 and the Ultimate Ad-Free plan to $20.99. According to Wiedenfels, there’s “a fair amount of room” for future increases if the company feels it’s warranted.
This timing is critical for Max, especially as it expands globally. Recently, Max expanded into Latin America and Europe, gaining 7.2 million new subscribers, with plans to enter Southeast Asia this year. This might be a strategy to generate revenue from its growing appeal in these regions.
While the crackdown and potential price hikes are designed to bolster Max’s bottom line, they also reflect a recurring trend shift in the streaming industry. And with subscription fatigue becoming a real concern, some users may finally reach a breaking point.
For those considering cancelling, now might be a good time to make the most of your subscription by binge-watching some of Max’s best shows while they’re still accessible before the crackdown and price hikes begin to crop up.