23andMe Bankruptcy Raises Alarm Over Genetic Data Sale

The company plans to auction its database of 15 million users, prompting privacy concerns and regulatory scrutiny.

23andMe has filed for Chapter 11 bankruptcy and plans to auction its assets, including a genetic database of 15 million users, in May 2025.
Regulators, including the FTC, have warned the company to uphold its privacy commitments during the bankruptcy process.
Customers are being urged by state attorneys general to delete their genetic data, though some users report challenges in doing so.
The 2023 data breach, which exposed personal information of 6.9 million users, has intensified concerns over the security of sensitive genetic data.
Former CEO Anne Wojcicki has resigned to position herself as an independent bidder for the company’s assets, raising questions about future data handling under potential new ownership.