23 and Mart Bankruptcy: Genetic Gold Mine? The privacy crisis is looming as millions of people’s DNA may be sold after facing bankruptcy and uncertain future 23AndMe

According to a report, as a 23AndMe filed for bankruptcy, people have what happens to people’s sensitive genetic information to millions of customers.

In financial struggles, data privacy involves

According to the Telegraph, 23andMe, which has tested more than 15 million individuals’ DNA, entered the U.S. bankruptcy protection in an attempt to sell the company.
Although the company claims data privacy will be a “important consideration”, it also mentioned that it wants to “maximize the value of its assets,” the Telegraph reported.
Privacy advocates advise consumers to delete their 23 and data because people are concerned that the company’s financial struggle could lead to its selling of information to data brokers or, according to the Telegraph, or use it for targeted advertising.

23andme’s financial decline

The company, worth $6 billion, has dropped its value to $48 million as interest on its DNA testing products has fallen, the report said. The company reportedly provided information on the risks of ancestry and genetic disease, and as of March 2024, the company lost $667 million. According to the report, by September last year, cash reserves had dropped to just $127 million.

Anne Wojcicki bid to save 23andme

However, the Telegraph reported that the board of directors of 23AndMe rejected its third acquisition by its founder and CEO Anne Wojcicki. Although Wojcicki also resigned from the CEO’s resignation and intends to bid for the company as part of the sales process.
The report said the offer priced the company’s shares at $2.94, or about $78 million, but relied on companies that achieved specific financial goals.

Data protection in bankruptcy

With the company’s bankruptcy, 23AndMe assured customers that its information remains secure, according to the report. Chairman Mark Jensen reiterated that the company will protect customer data and will be transparent about future user data management, the Telegraph reported.
Even 23AndMe says: “Any buyer must comply with applicable laws to treat customer data.”

FAQ

Should I delete my 23andMe profile?
Privacy experts recommend that if you are concerned about genetic data that is sold or abused during the company’s bankruptcy process, delete your profile.

Can 23andme sell my data to advertisers?
There are concerns that 23andMe may sell or abuse customer data as part of its bankruptcy sale, although the company said it would prioritize data privacy.