HBO Max is planning to crack down more aggressively on password sharing, according to Warner Bros. Discovery's streaming CEO JB Perette (via The Verge). Perette shared the info during an earnings call, where he said HBO Max users will be encouraged to pay a $7.99 per month fee to add viewers that are outside of their household.
"In September, you'll actually start to see the messaging -- which right now has been a fairly soft, cancelable messaging -- start to get more fixed and such that people have to take action," said Perette.
Warner Bros. began discouraging password sharing earlier this year after introducing the $7.99 per month sharing fee. As of right now, the restrictions on password sharing have not been enforced, and paying the extra fee is voluntary.
HBO Max with ads is priced at $9.99 per month, while the Standard plan with no ads is $16.99 per month. There's also a Premium plan with 4K streaming that's priced at $20.99 per month.
HBO Max customers that opt to add an extra member to their plan will need to pay the $7.99 per month fee, which provides the added member with their own account, password, and profile. Only one additional member can be added to an account.
At $7.99 per month, the extra member add-on is only $2 cheaper than the ad-supported plan, but the extra member is able to share the plan of the main subscriber. So if the subscriber has the 4K Premium plan, the extra member can access 4K streaming for the $7.99 per month price.
HBO Max will use account information, IP address, device ID, and user activity to determine if accounts are used by people in more than one household.
Cracking down on password sharing has been successful for Netflix and Disney, so it is no surprise to see other streaming services do the same thing. Netflix experienced strong subscriber growth and an increase in revenue when it stopped allowing customers to share their accounts.
Earlier this year, Warner Bros. Discovery changed the name of the streaming service, abandoning "Max" and going back to HBO Max. The service was branded as Max two years ago, but it turned out that eliminating the well-known and widely recognized HBO name was a mistake.
