U.S. House Committee Invites 23andMe Co-Founder for Testimony Amid Bankruptcy Concerns
In a significant development, a U.S. House committee has formally requested the co-founder of 23andMe, Anne Wojcicki, to testify in an upcoming hearing scheduled for May 6. This request comes as the committee embarks on an investigation into potential risks associated with the transfer of genetic data amid the ongoing bankruptcy proceedings of the popular DNA testing company. The letter, penned by James Comer, a Republican representative from Kentucky and the chairman of the House Committee on Oversight and Government Reform, reflects growing concerns regarding the safety and protection of genetic information collected from millions of customers.
23andMe, which specializes in providing genetic insights through saliva sampling, filed for bankruptcy protection last month. The company has faced a decline in demand for its ancestry testing kits, which has significantly impacted its financial stability. Wojcicki, who previously helmed the company and made several unsuccessful attempts to secure a buyer, stepped down as CEO in March but continues to serve on the board of directors.
The implications of 23andMe's bankruptcy filing are profound, particularly regarding the future of the genetic data belonging to its over 15 million customers. Concerns have been raised about the potential misuse of this sensitive data, especially in light of previous cybersecurity breaches. Comer has expressed worries that, without robust protections, this invaluable information could fall into the hands of foreign entities, including nations like China, or be exploited for purposes such as determining higher insurance premiums.
Comer emphasized the importance of safeguarding Americans' data in his communication to Wojcicki, stating, "We need to ensure the safety of Americans' data." This urgency is underscored by a recent incident where 23andMe faced a significant hack in 2023, compromising personal data of nearly 7 million customers over a span of five months. Such breaches raise critical questions about the company's ability to manage and protect sensitive information.
In addition to these concerns, 23andMe has engaged in over 30 agreements with various pharmaceutical companies, including a partnership with GSK, granting them access to its extensive database. However, many of these agreements remain undisclosed, adding another layer of apprehension about how customer data is handled and shared. In response to this scrutiny, 23andMe has asserted that any potential buyer in its bankruptcy process will be required to adhere to applicable laws governing the treatment of customer data.
The upcoming testimony by Wojcicki is poised to shed light on these critical issues as lawmakers seek to ensure that the genetic data of consumers remains protected during this turbulent period for the company.