Investigation of two video service providers by Synamedia during the second half of 2019 revealed more than 3 million compromised user credentials available for sharing or for sale on the Internet. Synamedia executive Jean-Marc Racine cited these results in a speech at the 2020 CES conference in Las Vegas.
Based on Synamedia analysis, the revenue associated with just 15% of these credentials could result in as much as $72 million in lost subscription revenue per year for these two providers alone. This estimate appears to be based on a monthly subscription fee of $12.00 (72 million ÷ 3 million ÷ 12 = $12). Synamedia also estimated that 15% of the users were non-subscribers who were accessing the services of these two video providers by using shared credentials, and that if 7% of them were converted to paying subscribers, $5 million in revenue would be recovered.
Read the original press coverage via MESA. Synamedia demonstrated its Streaming Piracy Disruption and Credentials Sharing and Fraud Insight solutions at CES.
Read Synamedia’s CES press release
Why it matters
Credential sharing is rights infringement, and if there was an intentional act to steal and redistribute the credentials or the content associated with these credentials, it’s piracy. It represents a significant loss of revenue for these two video providers. Synamedia specializes in piracy detection and anti-piracy technology solutions, including credential sharing.
Note: Synamedia is a sponsor of Piracy Monitor.