SOCIAL
Former Twitter Security Chief Accuses the Company of Misleading Behavior Around Bots, Data Security and More
Twitter’s nightmare 2022 continues to get worse, with former security advisor Peter Zatko, also known as ‘Mudge’, leveling a range of allegations against his former employer, including the suggestion that Twitter executives deceived federal regulators, deliberately mislead the company’s own board, and in a more immediately pressing element, lied about the presence of bots and spam on the service.
Which, of course, is the core of Elon Musk’s complaint against Twitter, and why he’s now seeking to exit his $44 billion Twitter takeover deal. Will Mudge’s testimony on this element sway the balance more in Musk’s favor in this respect?
This is just one of the key considerations of Mudge’s complaint, which has been filed with the SEC, the Department of Justice, and the FTC for further action.
Mudge, a well-respected web security expert, who was employed by Twitter between late 2020 and early this year, was initially brought into the company by former CEO Jack Dorsey, in the wake of the platform’s biggest ever hack, which saw the accounts of Barrack Obama, Joe Biden, and more taken over by a group of teenage fraudsters.
Dorsey, who respected Mudge’s history and experience, reached out to him, and asked him to ‘help the world’ by fixing Twitter’s security, and improving the public conversation.
But Mudge says that his work was constantly hampered by Twitter’s executives, who were more driven by public perception than actually serving the platform and its users.
Among Mudge’s accusations:
- Twitter failed to prioritize the protection of sensitive user data, leaving many public figures, as well as dissidents, at personal risk, even after the 2020 hack
- The company prioritized user growth over reducing spam, with executives incentivized by significant individual bonuses if the mDAU count kept going up
- Mudge says that he warned colleagues that the company’s servers were running out-of-date and vulnerable software, but nothing was done to address this
- Twitter executives withheld data about the number of breaches and lack of protection for user data, ‘instead presenting directors with rosy charts measuring unimportant changes’.
- Mudge believes that the Indian government had forced Twitter to put one of its agents on the payroll, providing them with direct access to user data at a time of intense protests in the country
- Twitter’s repeatedly failed to erase data on users who’ve explicitly requested such, due to flawed processes which meant that no central database could control such
- Mudge says that around half of Twitter’s 7,000 full-time employees had wide access to the company’s internal software and that access was not closely monitored
In response, Twitter has said that Mudge’s testimony is ‘riddled with inaccuracies’, while accusing Mudge of ‘seeking to inflict harm on Twitter, its customers, and its shareholders’ due to his being fired from the company, which, Twitter says, related to poor performance and leadership.
But it’ll be impossible for Twitter to dismiss the accusations completely, and again, with Elon Musk looking to exit his Twitter deal based on the company’s misleading statements on bots and spam, this can only help to support his case.
Musk tweeted this in response to the whistleblower release:
The FTC, meanwhile, says that it’s now reviewing the new allegations, while the Senate Intelligence Committee is seeking to meet with Mudge further discuss his accusations.
It continues a horror run for Twitter CEO Parag Agrawal, who, since taking over the top job from Dorsey, has had to deal with one high-profile controversy after another, while also trying to re-shape the company into the one that he wants to lead.
Thus far, Agrawal has not exactly received glowing reviews from former staff, and it’ll be interesting to see if Dorsey and former product chief Kayvon Beykpour, who was also dismissed my Agrawal earlier this year, are questioned about Agrawal’s leadership as part of the upcoming Musk/Twitter court trial.
That could end up forming a key part of Musk’s case against the app. If Musk and Co. can establish that Twitter has a culture of secrecy, and is willing to mislead everyone, including its own board, about the extent of its problems, then it could well be viable that Twitter has indeed deliberately misled the market about the presence of bots on the platform.
As a reminder, Twitter says that bot accounts make up only 5% of its active 238 million ‘monetizable daily active users’, which is a custom metric that Twitter introduced in 2019 to more accurately represent its actual ad reach.
As explained by Twitter at the time:
“Monetizable DAU are Twitter users who log in and access Twitter on any given day through twitter.com or our Twitter applications that are able to show ads.”
The intent of mDAU is to represent potential ad reach, not just users in general, which then gives the market a more accurate perspective on the company’s potential financial performance.
But Twitter’s method for measuring bots only sees the company sample 100 active accounts per day, amounting to 9k accounts examined every quarter. That’s the equivalent of 0.0038% of Twitter’s mDAU figure.
Which seems like a fractional amount, and if Musk and Co. can embed the idea that Twitter has only used this measure as a means to placate the market, and indeed its own board, in alignment with these broader disclosure trends, that could be a significant blow in Twitter’s defense.
Or worse, Twitter could also face penalties ‘in the hundreds of millions of dollars’ if these accusations are proven accurate. That may well constitute Material Adverse Effect, which is the very clause that Musk’s team is seeking to use to exit the deal.
Which then raises the question – was Mudge prompted by Musk’s team to release his statements at this time?
Mudge has stated that he has had no contact with Musk or his team, but Musk had since requested a briefing from Mudge on his experience.
Either way, it’s a major blow for Twitter, in general terms, given the potential penalties that could follow, but also with respect to the Musk deal, and the billions of dollars on the line for the app.
If nothing else, it paints a clear picture of dysfunction at the app, which is another element of Musk’s concerns with the company.
Again, 2022 has not been great for Twitter, and it looks set to get much worse yet.
SOCIAL
Snapchat Explores New Messaging Retention Feature: A Game-Changer or Risky Move?
In a recent announcement, Snapchat revealed a groundbreaking update that challenges its traditional design ethos. The platform is experimenting with an option that allows users to defy the 24-hour auto-delete rule, a feature synonymous with Snapchat’s ephemeral messaging model.
The proposed change aims to introduce a “Never delete” option in messaging retention settings, aligning Snapchat more closely with conventional messaging apps. While this move may blur Snapchat’s distinctive selling point, Snap appears convinced of its necessity.
According to Snap, the decision stems from user feedback and a commitment to innovation based on user needs. The company aims to provide greater flexibility and control over conversations, catering to the preferences of its community.
Currently undergoing trials in select markets, the new feature empowers users to adjust retention settings on a conversation-by-conversation basis. Flexibility remains paramount, with participants able to modify settings within chats and receive in-chat notifications to ensure transparency.
Snapchat underscores that the default auto-delete feature will persist, reinforcing its design philosophy centered on ephemerality. However, with the app gaining traction as a primary messaging platform, the option offers users a means to preserve longer chat histories.
The update marks a pivotal moment for Snapchat, renowned for its disappearing message premise, especially popular among younger demographics. Retaining this focus has been pivotal to Snapchat’s identity, but the shift suggests a broader strategy aimed at diversifying its user base.
This strategy may appeal particularly to older demographics, potentially extending Snapchat’s relevance as users age. By emulating features of conventional messaging platforms, Snapchat seeks to enhance its appeal and broaden its reach.
Yet, the introduction of message retention poses questions about Snapchat’s uniqueness. While addressing user demands, the risk of diluting Snapchat’s distinctiveness looms large.
As Snapchat ventures into uncharted territory, the outcome of this experiment remains uncertain. Will message retention propel Snapchat to new heights, or will it compromise the platform’s uniqueness?
Only time will tell.
SOCIAL
Catering to specific audience boosts your business, says accountant turned coach
While it is tempting to try to appeal to a broad audience, the founder of alcohol-free coaching service Just the Tonic, Sandra Parker, believes the best thing you can do for your business is focus on your niche. Here’s how she did just that.
When running a business, reaching out to as many clients as possible can be tempting. But it also risks making your marketing “too generic,” warns Sandra Parker, the founder of Just The Tonic Coaching.
“From the very start of my business, I knew exactly who I could help and who I couldn’t,” Parker told My Biggest Lessons.
Parker struggled with alcohol dependence as a young professional. Today, her business targets high-achieving individuals who face challenges similar to those she had early in her career.
“I understand their frustrations, I understand their fears, and I understand their coping mechanisms and the stories they’re telling themselves,” Parker said. “Because of that, I’m able to market very effectively, to speak in a language that they understand, and am able to reach them.”Â
“I believe that it’s really important that you know exactly who your customer or your client is, and you target them, and you resist the temptation to make your marketing too generic to try and reach everyone,” she explained.
“If you speak specifically to your target clients, you will reach them, and I believe that’s the way that you’re going to be more successful.
Watch the video for more of Sandra Parker’s biggest lessons.
SOCIAL
Instagram Tests Live-Stream Games to Enhance Engagement
Instagram’s testing out some new options to help spice up your live-streams in the app, with some live broadcasters now able to select a game that they can play with viewers in-stream.
As you can see in these example screens, posted by Ahmed Ghanem, some creators now have the option to play either “This or That”, a question and answer prompt that you can share with your viewers, or “Trivia”, to generate more engagement within your IG live-streams.
That could be a simple way to spark more conversation and interaction, which could then lead into further engagement opportunities from your live audience.
Meta’s been exploring more ways to make live-streaming a bigger consideration for IG creators, with a view to live-streams potentially catching on with more users.
That includes the gradual expansion of its “Stars” live-stream donation program, giving more creators in more regions a means to accept donations from live-stream viewers, while back in December, Instagram also added some new options to make it easier to go live using third-party tools via desktop PCs.
Live streaming has been a major shift in China, where shopping live-streams, in particular, have led to massive opportunities for streaming platforms. They haven’t caught on in the same way in Western regions, but as TikTok and YouTube look to push live-stream adoption, there is still a chance that they will become a much bigger element in future.
Which is why IG is also trying to stay in touch, and add more ways for its creators to engage via streams. Live-stream games is another element within this, which could make this a better community-building, and potentially sales-driving option.
We’ve asked Instagram for more information on this test, and we’ll update this post if/when we hear back.
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