US Judge Approves $305M 23andMe Sale to Co-Founder Amid California Privacy Appeal
US Judge Approves $305M 23andMe Sale to Co-Founder Amid California Privacy Appeal

US Judge Approves $305M 23andMe Sale to Co-Founder Amid California Privacy Appeal

News summary

A bankruptcy judge has allowed the $305 million sale of genetic testing company 23andMe to its co-founder Anne Wojcicki's new nonprofit, TTAM Research, to proceed despite California's legal challenge over privacy concerns. California argued that the sale violated its Genetic Information Privacy Act by transferring genetic data of about 1.8 million California customers without their express consent, but the judge ruled that customers could delete their accounts and data to avoid harm. The state appealed the decision, but the bankruptcy judge deemed the appeal likely to fail and stated that blocking the sale would harm creditors and shareholders. The sale follows 23andMe's bankruptcy filing in March, prompted by declining consumer demand and a 2023 data breach exposing millions of genetic profiles. TTAM Research committed to protecting customer data and maintaining 23andMe's privacy policies, including the right for customers to delete their data. California's attorney emphasized that the transaction effectively constitutes a sale of DNA to a third party, a point disputed by the company and the court rulings.

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