Attorney General Issues Urgent Warning as 23andMe Faces Bankruptcy and Privacy Backlash
Several state attorneys general are sounding the alarm over 23andMe’s reported financial troubles, with California’s AG leading the charge. On March 22, 2025, California issued an urgent consumer alert warning residents about the company’s precarious financial position. The message was crystal clear: your genetic data might be at risk. Delete it. Now.
As financial storm clouds gather over 23andMe, California’s AG isn’t sugarcoating the threat to your genetic data: Delete. It. Now.
It’s not just California getting nervous. New York’s AG is planning similar warnings, while Idaho’s Raúl Labrador and Utah’s Derek Brown have already issued alerts. The company officially entered Chapter 11 bankruptcy on March 23, 2025, as they plan to sell off corporate assets. Anne Wojcicki, the company’s co-founder resigned following unsuccessful attempts to take the company private. Funny how government officials suddenly care about our privacy when a company starts circling the drain.
The warnings highlight consumers’ rights under laws like California’s Genetic Information Privacy Act and Consumer Privacy Act. These protections sound nice on paper, but they’re only useful if you actually exercise them. Most people don’t. They spit in a tube, click “agree” on the terms, and forget about it.
Deleting your data isn’t complicated. Log into your 23andMe account, go to “Settings,” scroll down to “23andMe Data,” and click “Permanently Delete Data.” Confirm via email. Done. Your genetic blueprint is (supposedly) gone from their servers. You can also request destruction of your physical sample under the “Preferences” section.
Research consent is another issue entirely. Sure, you can withdraw permission through “Research and Product Consents” in your settings, but anything already published? That horse has left the barn. The concerning part is that over 80% of customers have consented to participate in these research programs.
Experts aren’t mincing words. NYU’s Justin Cappos recommends immediate deletion. Harvard’s I. Glenn Cohen warns of potential data breaches. David Siffer from STOP worries your genetic info could end up with insurance companies or employers. Not exactly comforting.
Meanwhile, 23andMe is making all the expected promises. They’re “committed” to safeguarding customer information. Data privacy remains a “priority” in potential transactions. They’ll be “transparent” about future data management. Heard that one before.
The company claims they’ll comply with applicable laws if they sell your data to new owners. Great. The bare minimum. Really reassuring.
The situation boils down to this: a struggling company holds the most personal data imaginable – your genetic code. They’re running out of money. Multiple government officials and privacy experts are waving red flags. Sometimes the writing on the wall isn’t subtle.
Your DNA isn’t something you can change if it gets compromised. Unlike a password or credit card number, that information is you, forever. The company has already tested over 15 million individuals through their saliva-based DNA collection process.
