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23andMe filed for bankruptcy. Here's why you should be worried about your privacy
TechXploreยท 2025-03-27 14:10
Core Viewpoint - 23andMe has filed for Chapter 11 bankruptcy, raising concerns about the potential sale of its extensive genetic data, which could be valuable to various entities, including biomedical startups and law enforcement [6][3][4]. Company Overview - 23andMe has sold over 12 million at-home DNA testing kits since its inception in 2006, assisting users in finding ancestors and assessing health risks [5]. - The company was once valued at $6 billion but is now undergoing bankruptcy proceedings [6]. Data Privacy Concerns - There is a significant risk that 23andMe's genetic data could be sold to the highest bidder, which raises privacy concerns for customers [2][3]. - The company asserts that the bankruptcy filing will not change how it manages customer data and that any potential buyer must comply with applicable laws regarding data treatment [9]. - A consumer privacy ombudsman may be appointed if personally identifiable information is sold during the bankruptcy process, ensuring alignment with the company's privacy policy [10][12]. Regulatory Environment - There is currently no federal genetic privacy law in the U.S., although some states, like California, have consumer protections in place [13]. - The inadequacy of 23andMe's data deletion procedures has been highlighted, as the company retains certain information even after account deletion [14]. Cybersecurity Issues - 23andMe has faced data breaches in the past, contributing to its current financial troubles [15]. - The sensitivity of genetic data is emphasized, as it not only pertains to individuals but also to their family members [15]. Customer Actions and Recommendations - Customers are advised to contact 23andMe to request data deletion, although the effectiveness of this action is uncertain [16]. - There is a call for more robust regulations regarding the handling of sensitive genetic data in the long term [16].