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23andMe Says 15% of Customers Have Requested Genetic Data Deletion Since Bankruptcy Filing

The company, once a leader in direct-to-consumer genetic testing, is now navigating a complex legal and financial restructuring process.

Sara Jones by Sara Jones
June 12, 2025
in Business, Finance, Investing, Markets, News, Technology
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23andMe Says 15% of Customers Have Requested Genetic Data Deletion Since Bankruptcy Filing

PHOTO CREDITS : The HIndu

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Genetic testing giant 23andMe is facing a wave of customer backlash as the company revealed that approximately 15% of its users have asked to have their genetic data deleted following its recent Chapter 11 bankruptcy filing.

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The company, once a leader in direct-to-consumer genetic testing, is now navigating a complex legal and financial restructuring process. Amid growing uncertainty over the future of its data assets and who may ultimately gain access to them, customers are taking swift action to protect their most personal information—their DNA.

A spokesperson for 23andMe confirmed that the company has received a significant increase in deletion requests in recent weeks. “We understand the concerns our customers have,” the spokesperson said. “We are honoring all valid requests for data deletion in accordance with our privacy policies and applicable laws.”

23andMe says 15% of customers asked to delete their genetic data since  bankruptcy

The requests for deletion come amid broader concerns that the company’s massive genetic database—containing DNA information from over 15 million individuals—could be viewed as a valuable asset to be sold, licensed, or otherwise transferred during bankruptcy proceedings. While 23andMe has not confirmed any plans to sell or share user data as part of its restructuring, privacy advocates and former customers have expressed alarm at the possibility.

Customer trust in the company had already been under pressure in recent years due to multiple data security breaches and a general shift in public awareness regarding digital privacy. The bankruptcy announcement appears to have intensified those concerns, prompting tens of thousands of users to proactively erase their digital DNA footprints.

Many users have cited fears that their data could be used for purposes beyond their control—including being sold to pharmaceutical companies, insurers, or even foreign entities. Others have questioned whether their consent agreements, originally signed under different corporate circumstances, still hold the same legal weight in the midst of a bankruptcy.

“Your DNA is the most personal data you have,” said one former user. “When the company you trusted with it is going bankrupt, the risk of misuse is too great. I didn’t hesitate to delete mine.”

After 23andMe Bankruptcy, Customers Urged To Delete Their Data

The situation has sparked renewed debate about data ownership and consumer rights in the digital age. Unlike passwords or browsing history, genetic data is uniquely identifying and unchangeable. Critics argue that individuals should have stronger legal protections over how their genetic material is handled, especially in cases where a company changes hands or ceases to exist.

23andMe has encouraged users who are concerned to review their account settings, where options to delete personal data and DNA samples are available. However, data privacy experts caution that deletion may not be immediate or absolute. Some regulatory and legal obligations may require companies to retain limited information even after a user has made a deletion request.

The company has attempted to reassure users that it remains committed to privacy and transparency throughout the bankruptcy process. “We’ve built our brand on trust,” the company’s spokesperson said. “We are working closely with legal advisors to ensure that our customers’ rights are respected, and their data is handled with the utmost care.”

As the legal proceedings unfold, industry observers say the outcome could set important precedents for how genetic data is treated in bankruptcy cases—and may ultimately reshape the business model of direct-to-consumer DNA testing.

In the meantime, a significant portion of 23andMe’s user base is making it clear: they’d rather lose access to their ancestry reports and health predictions than risk their DNA falling into the wrong hands.

Tags: 23andMe23andMe news23andMe updatesbankruptcy filingcustomer backlashGenetic Data Deletiontech newstechstory
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