The struggling genetic testing firm 23andMe says it would reduce 40% of its workforce, or 200 jobs, because it fights for survival.
The once-popular DNA-testing web site may even halt work on therapies it was growing.
Final 12 months, the corporate mentioned hackers had managed to achieve entry to private data of tens of millions of its customers.
23andMe’s share worth has fallen by greater than 70% this 12 months, as its co-founder and chief govt Anne Wojcicki tries to show the enterprise round.
The corporate mentioned it anticipated to incur one-off prices of $12m (£9.3m), together with severance pay, for the plan that can lead to financial savings of $35m.
“We’re taking these troublesome however vital actions as we restructure 23andMe and concentrate on the long-term success of our core shopper enterprise and analysis partnerships,” Ms Wojcicki mentioned.
The corporate additionally mentioned it’s contemplating what to do with the therapies it had in improvement, together with licensing or promoting them.
23andMe is a big of the rising ancestor-tracing business. It affords genetic testing from DNA, with ancestry breakdown and personalised well being insights.
Its clients embrace well-known names, from rapper Snoop Dogg to multi-billionaire investor Warren Buffett.
In December final 12 months, 23andMe confirmed that hackers had accessed particulars of about 6.9 million of its customers.
In some instances this included household bushes, delivery years and geographic places. However the stolen knowledge didn’t embrace DNA data, it mentioned.
The hackers logged into 23andMe accounts through the use of electronic mail and password particulars beforehand uncovered by different breaches.
They downloaded not solely the information from these accounts however the non-public data of all different customers that they had hyperlinks to throughout the household bushes on the web site.
In June, knowledge watchdogs within the UK and Canada introduced investigations into the breach.
On the time, an announcement from the UK’s Data Commissioner’s Workplace mentioned “23andMe is a custodian of extremely delicate private data, together with genetic data which doesn’t change over time.”
“This makes public belief in these companies important,” it added.
In one other blow to the corporate, seven of 23andMe’s eight-strong board resigned in September.
The agency’s unbiased administrators mentioned that they had stepped down after not receiving a passable buyout supply from Ms Wojcicki.
