Less than two decades ago, the cost to process a person’s genetic profile was $14 million. Now, companies including Ancestry.com and 23andMe sell kits starting at $99.
In 2013, 23andMe had raised $50 million from investors, including Google. That same year it was placed on a two-year review by the FDA, which investigated whether the company could reasonably make certain health claims to customers. In October 2015, 23andMe got approval from the agency to use company data to make health-related claims. According to its website, 23andMe has sold more than 12 million testing kits since its inception in 2006.
The company later made a deal, which was extended in January 2022, with GlaxoSmithKline to sell genetic data to the pharmaceutical giant to aid in drug discovery and research.
The company is now looking to the healthcare space to find growth opportunities as the novelties of DNA sequencing may wear off for some consumers.
“I think what’s going to drive growth long-term is health,” 23andMe CEO Anne Wojcicki told CNBC.
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