3 months ago
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(NewsNation) — DNA investigating institution 23andMe — and its customers' information — volition soon beryllium to Regeneron Pharmaceuticals.
Regeneron, a biotechnology company, announced Monday that it volition "acquire substantially each of the assets" of 23andMe done a $256 cardinal deal.
Will 23andMe merchantability impact lawsuit information privacy?
Regarding 23andMe's massive DNA database, Regeneron said it plans to process the information "in accordance with the consents, privateness policies and statements, presumption of service, and notices presently successful effect."
"Through our Regeneron Genetics Center, we person a proven way grounds of safeguarding idiosyncratic familial data, and we guarantee 23andMe customers that we volition use our precocious standards for information and integrity to their information and ongoing user familial services," the institution said successful a statement.
An independent, court-appointed ombudsman volition analyse the modulation and its impacts connected lawsuit privacy. That authoritative volition contiguous a study to the U.S. Bankruptcy Court for the Eastern District of Missouri by June 10.
The acquisition came 2 months aft 23andMe filed for Chapter 11 bankruptcy and announced it was unfastened for merchantability done a court-approved reorganization plan.
"We judge we tin assistance 23andMe present and physique upon its ngo to assistance radical larn astir their ain DNA and however to amended their idiosyncratic health, portion furthering Regeneron’s efforts to amended the wellness and wellness of many," said George D. Yancopoulos, Regeneron's president, successful the statement.
Pending support from the court, the merchantability could beryllium finalized aboriginal this year.
Why did 23andMe record for bankruptcy?
23andMe's way to Chapter 11 bankruptcy — and the exit of CEO Anne Wojcicki after failed takeover bids — began aft a data breach successful 2023, during which hackers accessed information from astir 7 cardinal lawsuit profiles.
The incidental led to tumbling stocks, a decreased involvement successful the company's DNA investigating kits and a $30 cardinal class-action lawsuit settlement.
In September, the full autarkic committee of directors resigned. A period later, 23andMe announced wide end-of-year layoffs. Around 40% of the company's workforce, oregon 200 people, were cut.
Was 23andMe lawsuit information astatine risk?
The institution had the genetic information of much than 15 cardinal customers astatine the clip of its bankruptcy filing.
While wellness attraction accusation is typically safeguarded nether privateness laws, accusation acquired by direct-to-consumer companies isn’t guaranteed the aforesaid protection.
California Attorney General Rob Bonta warned users successful March to purge their information sooner alternatively than later, calling the delicate DNA information a "trove" of delicate information.
Adrianus Warmenhoven, a cybersecurity adept astatine NordVPN, told the Associated Press that 23andMe's information breach and consequent bankruptcy are a "wake-up telephone for information privacy."
"Genetic information isn’t conscionable a spot of idiosyncratic accusation — it is simply a blueprint of your full biologic profile. When a institution goes under, this idiosyncratic information is an plus to beryllium sold with perchance far-reaching consequences," Warmehoven said.
About 80% of 23andMe’s customers hold to person their familial information analyzed for aesculapian probe upon signing up for the service, NPR reported last year.
