NEW YORK, NY – Genetic testing company 23andMe has filed for Chapter 11 bankruptcy protection, prompting concerns over the security of sensitive customer data. In response, New York Attorney General Letitia James is advising customers to request the deletion of their personal information and the destruction of any genetic material held by the company.
Founded in 2006, 23andMe offered at-home DNA testing kits, allowing customers to explore their ancestry and health predispositions. Despite its initial success and a peak valuation of $6 billion, the company faced declining demand, financial losses, and a significant data breach in 2023 that exposed information from nearly 7 million customers.
As of the end of last year, 23andMe reported debts exceeding $214.7 million. Co-founder and CEO Anne Wojcicki has resigned but remains on the board and intends to bid on the company’s assets during the bankruptcy proceedings.
The bankruptcy filing has raised alarms about the future handling of genetic data collected from approximately 15 million customers. Attorney General James emphasized the sensitivity of genetic information and urged New Yorkers to take proactive steps to safeguard their data. She provided guidance on how to request data deletion and sample destruction from 23andMe.
Customers seeking to delete their data can follow instructions provided by 23andMe on their website. If issues arise during this process, individuals are encouraged to file a complaint with the New York State Office of the Attorney General.
Why Should You Act Now To Protect Your Data
If 23andMe’s data is sold during the bankruptcy process, there are serious concerns about how that sensitive genetic information could be used — especially if it ends up in the hands of third parties not bound by the company’s original privacy commitments.
Genetic data, unlike other personal data, is permanent, unique to the individual, and potentially linked to family members. If sold or mishandled, it could be used for purposes customers never agreed to, such as law enforcement investigations, targeted marketing, insurance discrimination, or even by foreign entities seeking to exploit genetic profiles for surveillance or research.
For example, consumer DNA data has previously been used in criminal investigations (such as the Golden State Killer case), raising concerns about law enforcement access. In other instances, genetic information has been used by pharma companies to develop drugs, often without compensation or direct benefit to the individuals who provided the data.
There’s also the risk that companies acquiring the data in a sale could use it to develop behavioral prediction tools, or partner with advertisers to tailor highly specific health-related ads. Some critics even warn of scenarios where employers or insurers could discriminate against individuals based on genetic predispositions.
Given these risks, experts and officials like NY Attorney General Letitia James are urging customers to act quickly by contacting 23andMe and requesting deletion of both their digital data and any remaining DNA samples. Once data is sold, individuals may lose control over how it is used or shared permanently.
As the bankruptcy proceedings unfold, customers are advised to stay informed about the status of their personal information and take necessary actions to ensure its protection.
