FTC Raises Concerns About Privacy Protections In 23andMe Bankruptcy

April 01, 2025

Reuters (3/31, Godoy) reports the Federal Trade Commission has expressed concern “about the potential sale or transfer of Americans’ personal information by 23andMe ancestry testing company which recently filed for bankruptcy.” FTC Chairman Andrew Ferguson said in a letter to the US trustee “that any purchaser of 23andMe assets should agree to be bound by the company’s existing privacy policy.” Officials including California Attorney General Rob Bonta “had questioned what would happen to the genetic data collected by 23andMe” since filing for bankruptcy protection on March 23 “amid weak demand for its ancestry testing kits. It has said the bankruptcy process will not affect how it stores, manages or protects customer data.”