Struggling DNA-testing site 23andMe to lay off 40% of its workers
this Struggling genetic testing company 23andMe It said it would lay off 40%, or 200 jobs, in order to survive.
The once-popular DNA testing site will also halt work on a treatment it was developing.
Last year, the company said hackers had successfully gain access Personal information of millions of users.
23andMe’s shares have fallen more than 70% this year as co-founder and CEO Anne Wojcicki attempts to turn around the business.
The company said it expected the scheme to incur one-off costs of $12m (£9.3m), including severance payments, which would result in savings of $35m.
“As we restructure 23andMe, we are taking these difficult but necessary actions and focusing on the long-term success of our core consumer business and research partnerships,” Ms. Wojcicki said.
The company also said it is considering what to do with therapies in development, including licensing or selling them.
23andMe is a giant in the growing ancestry tracing industry. It provides DNA genetic testing, ancestry analysis and personalized health insights.
In December, 23andMe confirmed that hackers had obtained details of approximately 6.9 million of its users.
In some cases, this includes family tree, year of birth and geographic location, the company said. But the stolen data allegedly did not include DNA records.
Its clients include celebrities ranging from rapper Snoop Dogg to billionaire investor Warren Buffett.
