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Rather than the one-at-a-time download plan that so many Netflix subscribers are currently on, the new family plans would allow for multiple users to be watching individualized streams on different devices at the same time for a flat monthly fee.
This new model recognizes that family members have differing tastes in shows and generally don’t watch tv/movies together as a unit anymore.
Honestly, with Netflix available on so many different household devices, I am a little surprised they haven’t offered family plans already. At least it seems like they are receptive to the needs and wants of their subscribers.