Congressmen sound alarm over data privacy following 23andMe bankruptcy

Los Angeles Times - Apr 17th, 2025

Three Republican congressmen from the House Committee on Energy and Commerce have expressed significant concerns over data privacy following 23andMe's bankruptcy filing. With over 15 million customers' genetic data potentially up for sale, Representatives Brett Guthrie, Gus Bilirakis, and Gary Palmer have formally requested answers from 23andMe's interim CEO, Joe Selsavage, regarding data protection measures in a potential sale. The letter highlights the lack of HIPAA protections and the patchwork of state laws as key issues, urging the company to clarify its plans for safeguarding sensitive information. The company has yet to respond, while California Attorney General Rob Bonta has advised customers to delete their data, leading to website issues as users attempted to comply.

The implications of this development are significant, as 23andMe's genetic database contains sensitive DNA information that could be mishandled if sold to the wrong entities. The absence of stringent federal regulations for genetic data amplifies these concerns. The company's assurance that any buyer would adhere to its privacy policy offers little comfort, as such policies can be unilaterally changed. The situation has drawn the attention of multiple government bodies, including the Federal Trade Commission, reflecting growing apprehension over data privacy in the genetic testing industry. This case underscores the critical need for robust legislative frameworks to protect consumer data in emerging tech sectors.

Bankruptcy Consumer Protection Data Privacy Rob Bonta 23and Me Genetic Testing House Committee On Energy And Commerce Brett Guthrie Gus Bilirakis Gary Palmer Joe Selsavage

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RATING

6.8

Fair Story

Consider it well-founded

The article provides a timely and relevant exploration of the data privacy concerns surrounding 23andMe's bankruptcy. It effectively highlights the actions of government officials and the potential implications for consumers, which are areas of significant public interest. The use of credible sources and clear language enhances its reliability and readability. However, the piece could benefit from a more balanced presentation by including more detailed responses from 23andMe and further explaining the legal context. Overall, it is a well-structured article that raises important questions about the intersection of technology, privacy, and consumer rights.

Accuracy

The story accurately reports the concerns raised by three congressmen regarding the privacy of customer data following 23andMe's bankruptcy. It correctly identifies the representatives involved and the nature of their inquiry. However, the claim that 23andMe's genetic database is 'up for sale' could be misleading without further context on the legal protections in place. Additionally, the story mentions that the company was once valued at $6 billion, but it does not specify the source or date of this valuation, which could affect the accuracy if the figure is outdated.

Balance

The article presents the concerns of government officials and privacy experts prominently, which is important given the potential risks involved. However, the perspective of 23andMe is less emphasized, with only a brief mention of an open letter assuring data protection. This could lead to a perception of imbalance, as the company's stance and any measures they are taking to address these concerns are not fully explored.

Clarity

The article is well-structured and uses clear language to convey the main issues surrounding 23andMe's bankruptcy and data privacy concerns. The narrative flows logically from the introduction of the issue to the actions taken by government officials. However, some complex legal and technical aspects, such as the implications of Chapter 11 bankruptcy on data protection, could be clarified further for better comprehension.

Source quality

The article cites credible sources such as government officials, a privacy expert, and a major publication, the Wall Street Journal, which adds reliability to the report. However, it lacks direct quotes or detailed responses from 23andMe, which would provide a more comprehensive view of the situation. The absence of a response from the company reduces the depth of source quality slightly.

Transparency

The article provides some context regarding the bankruptcy and the potential sale of data but lacks detailed explanations of the legal implications and the specific questions posed by the congressmen. It mentions the company's privacy policy can be changed unilaterally, but it doesn't explain the potential impact of such changes. Greater transparency in these areas would enhance understanding.