A bankruptcy judge approved the sale of 23andMe to a nonprofit led by co-founder Anne Wojcicki, aiming to protect customer DNA data from being sold to third parties amid legal and privacy concerns, with the deal valued at $305 million and ongoing opposition from some states.
Multiple states are suing 23andMe in bankruptcy court to prevent the sale of customers' DNA data without their explicit consent, arguing that such sensitive personal information should not be sold without permission.
23andMe is holding a second auction for its DNA data with a bid of $305 million from Anne Wojcicki's group, after a legal dispute with Regeneron over the initial auction win. The auction aims to resolve the sale of the company's genetic data amid its bankruptcy due to financial struggles and legal issues.
Genetic testing company 23andMe has revealed that hackers gained unauthorized access to the DNA data of nearly 7 million users in a security breach. The breach, which occurred in early October, allowed hackers to access personal data, including profile information about users' ancestry. The company confirmed that the number of affected individuals is 6.9 million, which is almost half of its reported customer base. Additionally, approximately 1.4 million users who opted into the DNA relatives feature had their family tree profile information compromised. Hackers have been selling 23andMe profiles on black-hat hacking forums, with leaked data including details about genetic ancestry results. The breach is believed to have been facilitated by customers reusing passwords from other data breaches.
GSK will pay 23andMe $20 million for access to the genetic-testing company's consumer DNA data, allowing the drugmaker to continue mining genetic data for research purposes. 23andMe will provide GSK with one year of access to anonymized DNA data from customers who have agreed to share their information, as well as data-analysis services. With over 14 million customers, 23andMe's DNA library is one of the largest in the world.