Netflix wants you to stop sharing password

Plus: Microsoft's AI will write sales email

February 03, 2023

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Good Morning. All eyes are on the Chinese spy balloon that made its way into the American airspace over Montana. Meanwhile, our friendly newsletter hasn’t made its way into your friend’s inbox yet. Let’s change that, shall we? 🫡

In today's edition: Netflix’s new password sharing policy, Microsoft’s new AI products and memes.

Reading time is 3 minutes. Let’s do this.

Main Thing

Netflix wants you to stop sharing password

Oooffff

What: New subscribers have been a major source of revenue growth for Netflix over the last decade, reaching 230M paid subscribers by end of 2022.

But now every media company wants to be a streaming service (no offense Peacock), so the competition is strong and new subscribers are hard to come by.

So how do you earn more money? Extract more revenue from existing users 🤑, duh, MBA 101.

Netflix is doing just that, beginning with crackdown on sharing passwords. Here's how it might work:

  1. Identify primary household: Netflix will track your IP address to label the most frequently used location as your primary household. This works because all devices connected to same wifi within a residential house have the same external IP address.

  2. Extra verification to use from different location - Devices using the account from different location will have to be verified frequently.

Zoom out: Over 100M people use Netflix through the login credentials of someone else, according to Netflix. With password crackdown, Netflix will try to convert a major chunk of them as new subscribers. But at the same time, Netflix might become too expensive for existing users.

Big Picture

Microsoft's AI moves: The company is starting to capitalize on its investments in OpenAI with new products and features

  1. Intelligent Recap: Premium version of Teams will now automatically generates notes, tasks and highlights of meetings using AI.

  2. AI-written emails: Life's going to be easier for Sales people working with Viva Sales tool, as the AI will now write personalized emails using customer records and past interactions.

Twitter: The company is removing free access to its API from next week. Twitter's free API had been one of the most popular features among developers, with countless useful tools developed. A paid basic tier will be available instead.

Meme Friday

(We knew you were waiting for this)

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