Disney+ will begin its crackdown on password sharing this summer.
In an earnings call Wednesday, Disney Chief Financial Officer Hugh Johnston said "Disney+ accounts suspected of improper sharing will be presented with new capabilities to allow their borrowers to start their own subscriptions."
The "improper sharing" refers to subscribers who share accounts with users outside their household.
Disney is also allowing customers the opportunity to add outside users to their account for an additional fee, though that amount was not disclosed.
"We're looking forward to rolling out this new functionality to improve the overall customer experience and grow our subscriber base," Johnston said in the call.
Disney+ and Hulu have already begun alerting customers of changes to Hulu's subscriber agreements. The new terms — which go into effect on March 14 for existing users and have been in effect for new customers since Jan. 25 — ban password sharing for members outside of a subscriber's household.
The move follows the lead of competitor Netflix, which was the first platform to ban password sharing in an effort to combat subscriber and profit losses.
Netflix now charges an additional $7.99 a month to users who share their account with a viewer who lives outside their household.
SEE MORE: Hulu cracking down on password sharing, including for Disney+, ESPN+
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