23andMe files for bankruptcy

23andMe, the company that provides a tentative review of your ethnic history in return for drinking your family's genetic milkshake, is bankrupt. CEO Anne Wojcicki is out.

23andMe is using the Chapter 11 proceedings to facilitate a sale process to maximize the value of its business. 23andMe intends to continue operating its business in the ordinary course throughout the sale process.

Any buyer will be required to comply with applicable law with respect to the treatment of customer data and any transaction will be subject to customary regulatory approvals, including, as applicable, the Hart-Scott-Rodino Act and the Committee on Foreign Investment in the United States.

NBC News reports that the company "failed to find a basis for recurring income," which is the business beat way of saying they saturated the market and had nothing else to sell. With debts and liabilities, the company, once tagged at $6bn, appears to be worthless. The good news, perhaps, is that this suggests there's no unexposed private data on hand with any potential value.

23andMe has between $100 million and $500 million in estimated assets, as well as between $100 million and $500 million in estimated liabilities, according to the bankruptcy filing. Beyond its financial woes, privacy concerns around 23andMe's genetic database have swirled in recent years. In October 2023, hackers accessed the information of nearly 7 million customers. California Attorney General Rob Bonta on Friday issued a consumer alert urging residents to consider deleting their genetic data from 23andMe's website.

Previously:
• 23andMe to sell DNA records to drug company
• 23andMe to hacking victims: it's your fault because you reused passwords
• 23andMe's meltdown: How to protect your DNA from falling into wrong hands
• 23andMe vs. the FDA in less than 4 minutes
• DNA database 23andMe admits 6.9m users hacked