Are they just set up by people/companies to rack up extra followers or is there some other reason for them?
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A bot is by definition just a piece of software that automates an interaction with a system intended for human users. The features and intent of a given bot is determined by the developer and/or operator of that software. You appear to be asking a question that not only has a straightforward answer, but one which seeks to determine the motivations of particular groups; neither type of question is appropriate for ELI5.
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