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Disclaimer: Just speculating with your scenario. I know nothing on this subject and my understanding of this deal is that of mild curiosity at best. Fair point
by lijogdfljk 4y ago
Disclaimer: Just speculating with your scenario. I know nothing on this subject and my understanding of this deal is that of mild curiosity at best.
Fair point. Though i would think bots still affect price, right? Ie lets say it's 100% fake right now, what would the value be? Lets say $0 for easy math. Buying it at $54.20 means he has to at least clean up the bots enough to make it worth, at least, $54 to regain his investment.
So while i think your point is interesting, if bot count affects price then i feel one could argue there's a bot threshold whereby he would be over valuing it.
In your scenario the sweet spot would be if it was just enough bots to make $54 a fair price, but also lots of bots in total so that he could "fix the problem" and increase value.
- jjeaff 4y agoActual bot count is irrelevant. The only thing that matters for revenue purposes would be the results that advertisers are getting by advertising on the platform and what advertisers think of the bot count.
- snovv_crash 4y agoNo, it is relevant. When the curtain is pulled back and it is revealed that all of the accounts are bots, advertisers will stop spending money with Twitter.
- kevingadd 4y agoIf the ads are converting all the way through the chain, they don't really have any reason to care whether it's "bots" making those purchases and service sign-ups or not.
- snovv_crash 4y agoThat's a big if. Bots don't typically spend money.