23andMe Seeks Bankruptcy Protection Amidst Financial and Operational Challenges

23andMe has initiated Chapter 11 bankruptcy proceedings in a federal court in Missouri, as confirmed on Sunday night. Anne Wojcicki, who co-founded the company, has stepped down from her position as CEO with immediate effect, although she will continue to serve on the board of directors. This move follows a rocky journey for the genetic testing company, marked by difficulties in securing steady income streams, unsuccessful business ventures, and a significant cyberattack.

Once boasting a valuation of $6 billion, 23andMe has witnessed a dramatic decline in its stock value. This drop is attributed to the company’s struggle to develop a viable and sustainable business model amidst increasing concerns about privacy and data security.