Report: Fake User Accounts Cost Businesses Millions of Dollars a Year

The bot infestation is bad enough, but some other activity is causing more complex problems.

A report released today (PDF) from mobile identity solutions provider Telesign examines the impact of fake users on business, and notes the complex problem of finding solutions.

One major area of concern is a severe lack of vigilance: 43 percent of companies surveyed didn’t worry about bad actors on their service, because they wished to keep the registration process simple.

When it comes to security infrastructure, 94 percent of companies require users to provide a password or PIN to create an account, and 79 percent require an email address, which is promising.