The OP did address that though, via the fact that you can only have X number of simultaneous streams. That's a sensible, easily enforced limit.
Single household opens up a whole can of worms. If I watch on my iPhone at home: easy, yes. If I watch via my cell connection: OK, maybe let's just whitelist all cell connections. If I watch on my friend's wi-fi: uh oh. Is that legitimate? Is hotel wi-fi OK? How will they know what's hotel wi-fi and what's another person's home? What about an AirBnb?
If Netflix starts cracking down on things like that it's just going to get really irritating for customers.
Single household opens up a whole can of worms. If I watch on my iPhone at home: easy, yes. If I watch via my cell connection: OK, maybe let's just whitelist all cell connections. If I watch on my friend's wi-fi: uh oh. Is that legitimate? Is hotel wi-fi OK? How will they know what's hotel wi-fi and what's another person's home? What about an AirBnb?
If Netflix starts cracking down on things like that it's just going to get really irritating for customers.