The REAL Reason 23andMe Is Bankrupt
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Yeah, we told you this is going to happen. 23andMe declares bankruptcy. This is a pretty good lesson. You can learn a lot. All your younger people out there, can learn a lot about business from this company. And we’re talking about business. There are different types of businesses. 23andMe, I’m not going to argue, great concept. Great concept.
Great idea, but as far as a long-term business was concerned, No. Why? Okay. 23andMe, collecting DNA from people and, you know, stories, people finding long lost brothers, sisters, all sorts of other things, collects all this data. Now, again, I would never ever, again, I…
giving anybody my DNA. Not gonna do it. I’m not gonna do it. I’m sure that it’s been collected here, there, or somewhere. listen, okay, in the last James Bond movie where they were creating, you know, essentially bio weapons based upon your DNA. Nah, nah, not my bag. But anyway, I’m sure many people just like me. Well, that’s an interesting idea, interesting concept, but I’m not gonna do it. But many people did. Many people did. And, you know,
money flowed into the company. The problem is, the problem is there’s no repeat business. Let’s start with this. What if, what if people only went to McDonald’s once?
Yeah, McDonald’s would eventually go under. But no, no, no, no, no, people need to keep going back to McDonald’s. People do not need to keep going back to 23 and me. It’s almost like kind of owning. You want to think of it like the clampets from the Beverly Hillbillies. OK, they got themselves a well. They had to remember the oil well. They struggle. Oh, OK. And they had oil. But eventually, eventually that well is going to run dry.
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Again, everybody needs oil, but unless you develop and find more wells, guess what? You’re gonna go under. That’s why oil companies do that. 23andMe, that’s it. They tried to say that they were going to use the various different DNA samples to start some sort of pharmaceutical company. And that was the argument that was presented to me. And I’m like,
Yeah, I know a little bit about biotech and the type, the costs that are involved with actually developing drugs is astrophreak-anomical. Okay. There’s no way, no how they’d be able to afford to do that. They would have to raise a ton of money, bring in all sorts of experts. They didn’t have the infrastructure to do that. So no, that was, you know,
No way, no how not going to happen. This 23 and me and the company going public was again, another example of Wall Street ripping people off. Don’t won’t tell me that the people in the on Wall Street did know that that was this, you know, what I just presented to you wasn’t the case. But they don’t care. They don’t care. They’re there, you know, everybody’s doing it. We could sell this stock in that.
what they did and you bought it. Again, I’ve often talked about that demonic game of musical chairs that so many people like to play. We don’t play. There’s no point in it. We knew what was eventually gonna happen. It was a matter of if, it was a matter of when. Anyway, I guess now again, if you sent your DNA in, you might wanna, you might wanna,
I don’t know, hold of the company. guess there’s some option that they get rid of your information at some point in time, because this is going to a bankruptcy sale. some private equity company is going to end up with your DNA sample at some point in time, unless you get rid of it. Just saying, again, you have to take a look at companies in a different way. the, you know, this, the CEO, the company that stepped down,
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What’s her name? What Jiki? W O J C I C K I. Again, great idea. Great idea. Could have made herself a fortune. Well, she did make herself a fortune. mean, obviously blew out of her stock when the thing went up. Certain businesses, certain businesses have a lifespan. And 23 and me was one of them. Watchdog on wallstreet.com.
