23andMe’s financial struggles have raised concerns about the security of customers’ genetic data. The company announced plans to lay off approximately 200 employees, or 40% of its workforce, and shut down its drug development division to reduce costs. In addition, 23andMe’s latest earnings report revealed a 12% drop in revenue and a decline in share prices. The company has also faced internal challenges, including the resignation of seven independent board members in September. Since its inception in 2006, 23andMe has sold over 12 million DNA testing kits, which analyze DNA from saliva samples.
While the company reassured users that it does not sell or share personal information without consent, concerns remain about the safety of genetic data. Unlike health records, 23andMe’s data is not protected under the HIPAA Privacy Rule, as the company operates as a commercial entity rather than a medical one. In 2023, a security breach exposed the data of nearly 7 million users, leading to a $30 million settlement. Consumers are advised to stay vigilant about privacy policy changes and ensure they provide consent for any new uses of their data, as companies like 23andMe can modify their practices over time.
Peoplesmind
