California-based genetic testing supplier 23andMe has filed for Chapter 11 chapter and plans to promote its property following years of monetary struggles.
23andMe has been offering direct-to-consumer DNA testing companies since November 2007 to prospects who ship a saliva pattern and obtain a report on their ancestry and genetic predispositions. Since then, 23andMe has bought over 15 million DNA testing kits.
The corporate stated in a Sunday press launch that it’ll not change the way it shops, manages, or protects buyer information.
In a Monday submitting with the U.S. Securities and Trade Fee (SEC), it additionally “filed a movement looking for authorization to pursue a structured sale of their property pursuant to a aggressive public sale and sale course of,” after rejecting a takeover bid from the CEO and co-founder Anne Wojcicki, who has since resigned to enter the gross sales course of as an “impartial bidder.”
“As well as, we’re dedicated to persevering with to safeguard buyer information and being clear concerning the administration of person information going ahead, and information privateness will probably be an necessary consideration in any potential transaction,” stated Mark Jensen, 23andMe Chair of the Board of Administrators.
With the corporate’s property now up on the market to the very best bidder, privateness specialists worry that each one the amassed DNA information might fall into the improper palms, probably exposing 23andMe prospects’ genetic info regardless of the corporate’s assurances that this may not occur.
The Workplace of California’s Legal professional Normal additionally reacted to the information and issued a shopper alert advising 23andMe prospects to ask the corporate to delete their information, destroy their check samples, and revoke permission for his or her information for use for analysis.
This alert additionally offers detailed steps on learn how to file these requests, together with logging into your account, going into Settings, clicking ‘View’ subsequent to “23andMe Information” (right here you even have the choice to obtain your information first), scrolling to “Delete Information,” and clicking “Completely Delete Information.” Subsequent, you need to click on the hyperlink within the affirmation electronic mail that you’re going to obtain 23andMe.
Right this moment, the UK’s Data Commissioner’s Workplace additionally stated that genetic info is among the many most delicate private information people share and warned that firms dealing with this information should comply with strict safety and governance requirements underneath GDPR.
“We’re conscious that 23andMe has filed for Chapter 11 chapter within the US to facilitate a sale course of. We’re monitoring the scenario intently and are in touch with the corporate,” stated ICO Deputy Commissioner Stephen Bonner.
“As a matter of UK legislation, the protections and restrictions of the UK GDPR proceed to use and 23andMe stays underneath an obligation to guard the private info of its prospects.”
In September 2024, 23andMe agreed to pay $30 million to settle a lawsuit over an information breach that had uncovered the information of 6.4 million prospects in 2023. In January 2024, the corporate additionally confirmed that the attackers stole well being experiences and uncooked genotype information throughout 5 months of credential-stuffing assaults.
This 2023 information breach led to a number of class-action lawsuits, which prompted 23andMe—in a transfer broadly criticized by prospects—to amend its Phrases of Use in November 2023 to make it more durable to sue the corporate. Nonetheless, 23andMe claimed that the modifications aimed to simplify the arbitration course of.
Primarily based on an evaluation of 14M malicious actions, uncover the highest 10 MITRE ATT&CK strategies behind 93% of assaults and learn how to defend in opposition to them.
