The At-Home DNA Testing Fad Is Over, But Companies Still Have Your Data
23andMe and Ancestry are losing sales and laying off workers
For the past few years, it seemed like everyone and their mom was buying an at-home DNA testing kit. Millions of people bought tests from 23andMe, Ancestry, and other companies to learn about their heritage, connect with long-lost relatives, and discover their risk of certain medical conditions. People ordered them in droves for holiday and birthday gifts, and others bought 23andMe tests at Walgreens, CVS, and Walmart while getting their prescriptions filled.
But now, the enthusiasm for consumer DNA tests is waning. Sales of DNA kits have slowed, and in January, 23andMe said it was laying off 100 employees, about 14% of its workforce. This week, Ancestry announced it is also letting go of 100 people, around 6% of its employees. “Over the last 18 months, we have seen a slowdown in consumer demand across the entire DNA category,” Ancestry president and CEO Margo Georgiadis said in a blog post.
The post alluded to privacy as one reason for the slowdown. “Future growth will require a continued focus on building consumer trust and innovative new offerings that deliver even greater value to people,” said Georgiadis. In an interview with CNBC, 23andMe CEO Anne Wojcicki also…
