In a dramatic call to action, California Attorney General Rob Bonta has warned all users of the genetic-testing company 23andMe to erase their data from the company’s records, citing severe concerns about their privacy and security as the company teeters on the brink of bankruptcy.
Amid 23andMe's financial distress and a significant data breach, the California AG's advisory highlights the urgency of protecting personal genetic information, the New York Post reported.
23andMe, once a pioneer in genetic testing, offered its users insights into their health and ancestry through detailed data derived from saliva samples. Users were required to provide a saliva sample and pay around $200 for the testing service, which attracted over 15 million customers worldwide. However, the company’s ambitious expansion, including pharmaceutical partnerships, gradually led to financial instability.
In 2020, 23andMe was valued at an impressive $6 billion. Despite this, within a short span, the company faced numerous challenges that significantly affected its market influence and financial health. The most impactful hiccup came when its share price dramatically fell, from over $320 in February 2021 to less than $2 per share recently.
This steep decline was a marker of the troubles ahead, including the risk of being delisted from NASDAQ noted as early as February 2024, highlighting a potential collapse.
A critical issue that exacerbated the situation was a data breach in 2023 that compromised sensitive user information. This breach not only raised alarms about the capability of 23andMe to safeguard customer data but also played a significant role in the plummeting trust and share value of the company.
The breach catalyzed safety concerns among users and stakeholders, making the security of the genetic information provided by millions of users a headline issue.
Such a breach carries vast implications, as unauthorized individuals could misuse the personal and sensitive data, including detailed health and genetic information, if they obtain it.
Under the California Genetic Information Privacy Act of 2022, users have the legal right to demand the deletion of their genetic data at any time, a provision that the California AG is now urging residents to utilize effectively.
"Given 23andMe’s reported financial distress, I remind Californians to consider invoking their rights and directing 23andMe to delete their data and destroy any samples of genetic material held by the company," stated AG Rob Bonta, emphasizing the gravity of the situation.
To address these concerns, Rob Bonta detailed the process for users wishing to delete their data — an option that involves logging into one's 23andMe account, navigating the settings menu, selecting the data section, and opting to "permanently delete data."
While the individual user has rights under state law, the unfolding situation also highlights the responsibilities of corporations handling sensitive data. The issue isn’t merely about bankruptcy but the broader implications of how companies manage and secure user data during crises.
This incident serves as a critical reminder of the changing landscape of genetic testing and personal data security. As companies like 23andMe navigate these turbulent waters, the priority remains the ironclad safeguarding of user information.
The steps taken by users following the AG's advice will likely reflect broader concerns about privacy and the trust placed in genetic testing companies, especially under financial duress.
As this story unfolds, it will undoubtedly set a precedent for how corporations in distress handle genetic information and may usher in more stringent regulatory frameworks for genetic data protection.
For now, the focus remains tightly on ensuring those millions of users affected by 23andMe's instability are aware of their rights and the measures they can take to protect their most personal data.
Against this backdrop, the plight of 23andMe serves as a cautionary tale for the industry, underscoring the need for robust protection measures and transparent practices to safeguard consumer interests in the burgeoning field of genetic testing.
