By Rose de Acosta | Cnn
Gentesting Service 23Andme said on March 23 that he applied for insolvency protection in Chapter 11 – an try and keep the corporate going and reorganize its debts.
Relatives: Here you could find out how you possibly can delete your data from a 23andme account
The company navigates in an insecure future, since consumer lawyers ask its 15 million customers worldwide to extinguish their data to stop them from being accessible to potential buyers.
These are the most recent challenges for the corporate based in South San Francisco, which was founded in 2006 and which dramatically lowered its workforce last yr and has been struggling financially since his public. Here is a take a look at the climb and fall of 23andme into 4 charts.
Only a couple of months after it began trading in Nasdaq in June 2021, the corporate was estimated as much as 5.8 billion US dollars. But it had lost almost half of the worth by the tip of this yr. Then, in 2023, hackers accessed profiles and genetic details about hundreds of thousands of users.
From Friday, the corporate's shares were less value lower than one dollar.
One of an important challenges of the corporate is to seek out a sustainable business model.
The core turnover results from the distribution of saliva collective kits for genetic tests in the realm of saliva collectors in the value of $ 99 to $ 499 with the optional subscription services. After customers bought kits and sent samples, most transactions are complete.
Although the cumulative number of shoppers have increased over time, growth has began to delay – and latest subscriptions haven’t kept up.
This has contributed to the falling income and net losses of the corporate worse. Last yr the corporate reduced 40% of its workforce, and last week his CEO and co -founder Anne Wojcicki resigned.
In 2018, the corporate accomplished a 4 -year collaboration with the pharmaceutical GSK “In order to collect knowledge and discover new drug goals that drive the progression of the disease and develop therapies,” said the web site of the corporate based in London.
In addition to the co-financing of the activities throughout the cooperation, GSK invested $ 300 million in 23Andme. However, the corporate has never made a profit because it was public in 2021 and a lack of 666 million US Annual financial statements.
In the primary nine months of the 2025 financial yr, which ended on December 31, 2024, the corporate reported a net lack of $ 174 million, based on these submissions.
23Andmes on saliva -based tests goes beyond the persecution of Ancestry. It may also uncover genetic predispositions for conditions that range from diabetes to certain sorts of cancer. This information may also help customers with health-related decisions, but in addition the concerns in regards to the privacy.
According to US centers, lots of the leading causes of death within the USA are related to diseases for the control of the disease, which suggests that genetic information is priceless and potentially prone to exploitation. Consumers support fear.
Last week General Prosecutor in New York and California pushed user To Delete your data from the corporate.
The Attorney General of California, Rob Bonta, told ABC News The indisputable fact that he had difficulty deleting his own information from the platform and suggesting that the web site breakdown he met was proof that hordes of shoppers did the identical.
On the day of 23Andme's insolvency announcement, there have been 376,000 visits to the auxiliary pages of the web site, which relate to deleting data, and on the next day there have been 480,000 visits on these pages Simliarweb.
The-Cnn-Wire
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