Netflix lost 200,000 subscribers during the first quarter of the year, according to the streamer’s earnings report Tuesday. That number is well below the company’s estimated 2.5 million additions for the quarter.
Among the reasons for declining numbers for the quarter, Netflix included password sharing, an issue the service has been trying to fight against over time. Recently, Netflix began testing a new way of cutting down on password sharing – setting up a pricing structure for additional users on an account. With a third of Netflix users admitting to password sharing, it’s not surprising it’s taking a toll on the company’s financials.