On Sunday, the once-popular genetic testing service 23andMe with over 15 million customers announced that it has voluntarily declared for bankruptcy.
While a press release from the company states that there will be "no changes to the way the Company stores, manages, or protects customer data," California's attorney general has released an urgent consumer alert warning users of 23andMe to delete their data as soon as possible by going to the company's website.
Here's what we know about the developing situation and how to make sure your personal data isn't impacted.
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23andMe to Sell Off Its Assets
According to the press release, 23andMe is seeking authorization from the U.S. Bankruptcy Court for the Eastern District of Missouri to sell all of its assets in a move to save the company from its recent financial struggles.
"We believe in the value of our people and our assets and hope that this process allows our mission of helping people access, understand and benefit from the human genome to live on for the benefit of customers and patients," said Mark Jensen, Chair and member of the Special Committee of the Board of Directors.
The company plans to use chapter 11 proceedings to help pay employees and vendors, reduce operating expenses, back out of a few real estate leases, and help "resolve all outstanding legal liabilities stemming from the previously disclosed October 2023 cyber incident."
As you may recall, 23andMe was the victim of an absolutely massive data breach that leaked the personal info of over 6.9 million customers, including passwords, birth dates, family trees, locations, and more.
In September 2024, the company agreed to a $30 million settlement and all impacted users were notified via email to change their passwords. At the time, while 23andMe tried to ease concerns by offering all affected customers three free years of Privacy & Medical Shield + Genetic Monitoring, experts urged users to remove their data from the company's platform and file claims for compensation.
Ever since, 23andMe has struggled to regain trust in existing users and attract new customers. In fact, according to the company's Privacy Policy, they can pretty much use or transfer your data as they please.
These security issues on top of other financial hardships and leadership shakeups has led to the public company to now file for bankruptcy. While the company says it plans to "operate as normal" throughout the process, others are much more concerned.
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Customers Warned to Protect Their Info Now
Upon hearing of the impending bankruptcy filing, California Attorney General Rob Bonta issued an immediate alert to residents on Friday, March 21.
"California has robust privacy laws that allow consumers to take control and request that a company delete their genetic data," he said in a press release. "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."
Even if you don't live in California, you can take the same steps Bonta suggests to protect yourself and delete your info on 23andMe.
As The Washington Post's Geoffrey A. Fowler reports, it took him "just a minute" to delete his own data.
How to Erase Your Data on 23andMe
Follow these steps provided by the California Attorney General's office:
- Log into your 23andMe account on their website.
- Go to the "Settings" section of your profile.
- Scroll to a section labeled "23andMe Data" at the bottom of the page.
- Click "View" next to "23andMe Data"
- Download your data: If you want a copy of your genetic data for personal storage, choose the option to download it to your device before proceeding.
- Scroll to the "Delete Data" section.
- Click "Permanently Delete Data."
- Confirm your request: You’ll receive an email from 23andMe; follow the link in the email to confirm your deletion request.
If you fail to take these steps, experts told Fowler at the Washington Postthat your DNA data could be taken to reveal and expose personal details about you and your relatives, which could be used to do anything from raise your insurance costs to steal your identity and more.
Fowler advises downloading your data from 23andMe and saving it securely for your own personal use before deleting it permanently.
