23andMe Filed for Bankruptcy. What Does That Mean For Your Account?

The genetic testing and information company, 23andMe, announced on March 23 that it has filed for bankruptcy, after years of financial struggles and data privacy concerns.

Filing for bankruptcy will allow the company “to facilitate a sale process to maximize the value of its business,” 23andMe said in a press release. The news also comes amid management changes; according to the press release, Chief Executive Officer Anne Wojcicki is stepping down from her role, effective immediately, but will continue to serve as a board member. The company’s board selected Chief Financial and Accounting Officer Joe Selsavage to serve as the interim CEO.

In the press release, 23andMe said it “intends to continue operating its business in the ordinary course throughout the sale process. There are no changes to the way the Company stores, manages, or protects customer data.”

“We are committed to continuing to safeguard customer data and being transparent about the management of user data going forward, and data privacy will be an important consideration in any potential transaction,” Mark Jensen, chair and member of the Special Committee of the Board of Directors, said in the press release.

Still, some officials are urging customers to consider deleting their data. Just a few days before the bankruptcy announcement, on March 21, California Attorney General Rob Bonta issued a consumer alert to 23andMe customers, advising them to consider deleting their data from the company’s website.

“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,” Bonta said in a press release.

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Some technology experts also encouraged 23andMe users to delete their data. Meredith Whittaker, the president of the messaging app Signal, said in a post on X: "It's not just you. If anyone in your FAMILY gave their DNA to 23&me, for all of your sakes, close your/their account now. This won't solve the issue, but they will (they claim) delete some of your data."

In October 2024, NPR reported on customers' concerns over what could happen to their private data amid the company's financial challenges. A 23andMe spokesperson told NPR that the company was committed to privacy, but wouldn't answer questions about what the company might do with customer data. Legal experts said that there are few federal protections for customers, and worried that the sensitive data could potentially be sold off or even accessed by law enforcement, NPR reported.

The California Attorney General’s Office outlined in its press release on March 21 the steps customers need to take to delete their genetic data from 23andMe: After logging into your account, click on “Settings” and scroll to the bottom of the page to a section called “23andMe Data”; click “View”; then you can download your data; scroll to the “Delete Data” section and click “Permanently Delete Data.” You’ll receive an email from 23andMe after that, and you can follow the link in the email to confirm your request to delete your data.

If you had previously allowed 23andMe to store a saliva sample and DNA, you can change that preference by going to the “Settings” page on your account, under “Preferences.” If you had previously allowed 23andMe and third-party researchers to use your genetic data and sample for research purposes, you can also revoke that consent from the “Settings” page, under “Research and Product Consents.”