The Walt Disney Company had its first-quarter earnings call on February 7th. CEO Bob Iger shared a lot of important updates and news about the company, such as Moana 2 coming out in November and the subscribers Disney+ lost.
Iger was optimistic that the streaming platform would bounce back from the loss of subscribers and gain 5 to 6 million in the next quarter. But the number of subscribers wasn’t the only part of the Disney+ conversation. Iger also mentioned that a lockdown on password sharing would be arriving. And it seems that changes are happening sooner rather than later.
An email was sent out early on the morning of February 7th to Disney+ subscribers, sharing a glimpse into new updates to the subscriber agreement. If you’re a new subscriber as of January 25th, these new terms will immediately apply to you. But if you were a subscriber before then, the new terms will begin on March 14th (unless you acknowledge the changes in the app, then they will apply earlier).
So, what are the highlights of the new subscriber agreement? The email shared that new terms are being added to govern gift card information for billing timing and “an explanation of prorated charges that apply when you switch into a higher service tier.” They also updated the arbitration agreement for procedures for resolving disputes related to subscriptions and services, and they are now offering “the choice to ‘opt-out’ of resolving disputes through arbitration.”
But what really caught our attention was the bullet point discussing added limitations on sharing accounts outside the “household” and how they will be checking to see if you’re complying with the limitations. To see the details of what’s been added, you have to go to the updated agreement, so let’s take a look at what that now says.
Per the updated subscriber agreement, “Unless otherwise permitted by your Service Tier, you may not share your subscription outside of your household.” It goes on to define “household” as the “collection of devices associated with your primary personal residence that are used by the individuals who reside therein.” So basically, whoever lives in your house may use the same login information on their devices.
We couldn’t find any information on a service tier that would allow account sharing.
The agreement continues, adding, that they may “analyze the use of your account to determine compliance with this Agreement.” They have the discretion to ensure that your login and password are only being used by those permitted per the above paragraph.
So it seems that Iger shared the information just in the nick of time as password sharing is no longer allowed per the updated subscription agreement. Be sure that you are keeping your account within your defined household so you are continuing to abide by the agreement.
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