California AG Issues Warning to 23AndMe Users Amid Bankruptcy Filing

He urged people to ‘delete their data’ amid the DNA testing company’s recent financial woes.

California Attorney General Rob Bonta speaks at a press conference, in a file image. Courtesy of California Attorney General's Office

California’s attorney general warned customers who used the 23andMe DNA testing service to remove their data from the company’s website after the company filed for bankruptcy protection.

“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,” state Attorney General Rob Bonta said in a statement on March 21, two days before the company filed for bankruptcy.

Bonta said that in California, people can “request that a company delete their genetic data” and provided steps on how to do so.

That includes going into their 23andMe account, going to the “Settings” section of their profile, going to a section called “23andMe Data” at the bottom of the Settings page, clicking “View” next to “23andMe Data,” downloading their data, scrolling to the “Delete Data” section, clicking “Permanently Delete Data,” and then confirming their request. The company should then send an email to the person to confirm the deletion request, according to the attorney general’s office.

Users can also destroy their 23andMe test sample by changing a preference on the website from their account settings, under “Preferences.” People who have consented to allow their genetic data to be used for research can go to the account settings page, “Research and Product Consents.”

The company’s troubles persisted on Monday as its chief executive, Anne Wojcicki, stepped down from her position, according to a filing submitted to the Securities and Exchange Commission. The company, meanwhile, declared bankruptcy just hours earlier in a Missouri federal court.

“We have had many successes but I equally take accountability for the challenges we have today,” Wojcicki said in a post on social media platform X on Monday morning. “There is no doubt that the challenges faced by 23andMe through an evolving business model have been real, but my belief in the company and its future is unwavering.”

The company’s market value peaked in 2021 at nearly $6 billion amid booming interest in DNA testing kits, but demand has waned in recent years, hurting companies such as 23andMe and its Blackstone-owned rival AncestryDNA.

In 2023, hackers exposed the personal data of nearly 7 million 23andMe customers over a five-month period, dealing a major blow to the company’s reputation and compounding its growth problems. The breach raised alarm among customers concerned about their privacy and how DNA-testing companies handle their data. The company eventually agreed late last year to a $30 million settlement in a lawsuit related to the breach.

Although she did not specifically respond to Bonta’s statement on March 21, Wojcicki said that she “will continue to tirelessly advocate for customers to have choice and transparency with respect to their personal data, regardless of platform.”

“Consumers are rising up and asking for more control over their health and want greater knowledge about how to be healthy and why they may have health issues,” she said. “We fought for consumers to have direct access to their information and for them to have choice and transparency with respect to their personal data.”

On Monday, the company’s stock dropped even further, by more than 50 percent, to 75 cents per share as Wojcicki stepped down amid the bankruptcy filing.

Reuters contributed to this report.