Disney+ has introduced a new policy allowing subscribers to share their accounts with individuals outside their household for an additional fee.

This new feature, which began enforcement in September 2023, permits an Extra Member to stream on only one device at a time, and account holders are limited to adding just one Extra Member.

The policy was initially tested in select markets over the summer and is now available in the U.S., Canada, Costa Rica, Guatemala, Europe, and the Asia-Pacific region.

Disney aims to convert account sharers into individual subscribers through this initiative, which was announced after hints during earlier earnings calls.

These changes come as a financial burden to streaming consumers already facing frequent price hikes and the introduction of ads.

Despite potential subscriber losses, CEO Bob Iger noted that price increases have historically resulted in minimal subscriber attrition.

This rollout aligns with Disney+'s upcoming price hikes on most plans and the release of new high-profile content, such as 'Agatha All Along' and 'Inside Out 2'.

The implementation of these restrictions is expected to be completed by the end of September, potentially impacting over 110 million global subscribers.

Subscribers will have access to a wide range of content, including select shows in 4K and HDR, though offline downloads are not permitted.

Disney+ determines household status based on login activity, linked devices, and internet connection, which could affect account sharing.

The updated agreements indicate that account usage may be monitored for compliance, with violations potentially leading to account termination.

Disney's CFO emphasized that the crackdown on password sharing is intended to transition users outside the household to new subscriptions.