Netflix users are watching less content and opening the app less frequently years after the controversial password crackdown.
Netflix subscribers are spending less time watching content and opening the streaming app less frequently, according to a recent report. The downward trend in platform engagement is continuing years after the company introduced a controversial password-sharing crackdown that fundamentally changed how households access shared accounts.
While the overall viewing time for Netflix increased slightly during the first half of 2026, financial research shows that this growth was driven entirely by attracting a higher volume of new subscribers rather than increased individual usage. On an individual basis, customers are actually opening the application on fewer days each month, raising concerns among corporate executives.
The shift in consumer behavior began after Netflix started restricting password sharing in 2022 and expanded those rules globally through 2023, according to information published by dexerto. Although leadership initially believed the engagement drop would be temporary, internal metrics and financial studies confirm the trend has persisted.
Average monthly viewing time per Netflix member
Financial firm Jefferies estimated that the average monthly viewing time per Netflix member fell from 66 hours in the first half of 2023 down to just 49 hours in the first half of 2026, based on data provided by Reuters.
Furthermore, app analytics data from Apptopia revealed that the share of US subscribers who completely avoided opening the Netflix application increased by 16.6 percent in the third quarter compared to the previous year.
Ted Sarandos addresses US viewership growth struggles
Netflix co-CEO Ted Sarandos publicly acknowledged the ongoing engagement struggles during an October earnings call with investors and analysts.
Sarandos admitted that US viewership was just not growing as fast as it could or as fast as company leadership would ideally prefer, highlighting a core challenge for the streaming giant.
Subscriber cancellation rates and price hike reactions
Despite the notable decline in daily app openings and viewing hours, subscribers are not abandoning the platform entirely, maintaining a steady US cancellation rate of around 2 percent.
Research firm Antenna confirmed this stability, even though many users threatened to cancel their subscriptions following another controversial price hike earlier in the year.
Netflix investments in live sports and podcasts
To combat declining engagement metrics, Netflix has significantly increased its financial investment in alternative programming options, including live sports broadcasts and podcasts.
These strategic content expansions aim to keep customers actively watching, even as broader industry trends point toward tighter subscription controls across competing digital services.
Frequently Asked Questions
Why are Netflix users watching less content?
Netflix users are watching less content because individual viewing habits declined following the password-sharing restrictions introduced in 2022 and 2023, which reduced the number of unauthorized secondary users on accounts.
How much has Netflix viewing time dropped?
According to financial firm Jefferies, the average monthly viewing time per Netflix member fell from 66 hours in early 2023 to 49 hours in early 2026.
What did Ted Sarandos say about Netflix viewership?
Netflix co-CEO Ted Sarandos stated during an October earnings call that US viewership was not growing as fast as the company would like.
Are subscribers canceling Netflix after price hikes?
Despite subscriber threats and price hikes in 2026, the US cancellation rate for Netflix has remained stable at approximately 2 percent according to Antenna.
