Enjoy password sharing while you can, its days may be numbered
On Dec. 9, Charter Communications CEO Tom Rutledge took aim at the "content companies" entering the direct-to-consumer streaming business. The cable executive told a roomful of investment bankers in Manhattan that these new streamers are "creating havoc in the ecosystem."
For now, many streamers — including Netflix, Hulu, Disney+ and Amazon Prime — seem content to allow the practice to continue, even while they crack down on illicit password sales. But as services mature, priorities will likely change. "When the growth starts to flatten and you start to look at the balance sheet, you are going to be looking for revenue," says Jean-Marc Racine, chief product officer of video delivery and security firm Synamedia.
“There is a cultural shift particularly among young people, where sharing things with people you know, or them sharing with you, is an accepted way of doing business, and it is an attitude that is going to impact how they consume lots of things, not just TV and movies,” says Jon Giegengack, principal at Hub.
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