Could Bots and Spam Smother Twitter's IPO?

Twitter is being overwhelmed by spambots that undermine its value to advertisers — and to potential investors in its initial public offering — according to a University of Texas information scientist.

Some 24% of tweets are created by automated bots, according to one study, some of which are spam. Several news media headline feeds are automated (not @BW, though). A handful of bots were programmed to tweet about earthquakes in California. Still others provide useful and weirdly personalized services.

Still, the prevalence of nonpeople is a problem for the business’s revenue model, writes Andrew Whinston, director of the Center for Research in Electronic Commerce at the University of Texas at Austin. Whinston sent a one-page analysis that he co-authored with graduate student Shun-Yang Lee to Bloomberg Businessweek on Tuesday. The short piece isn’t intended for an academic journal. Read more...