23andMe Holding Co (NASDAQ: ME) Jewish and Chinese Users
On May 16, 2024, 23andMe (NASDAQ:ME) revealed that hackers breached their systems in December 2023, affecting 7 million users. The hack specifically targeted Jewish and Chinese customers, compiling their personal genetic data, which was sold on the dark web. A class action lawsuit alleges that 23andMe concealed these details from those affected. The hacker leaked lists of over 1 million Jewish and 350,000 Chinese customers, generating significant interest on the dark web. 23andMe initially attributed the breach to recycled login credentials and delayed the announcement until December without mentioning the specific targeting or data sale. Law firm Levi & Korsinsky is investigating potential compensation for affected users.
- The company has a large user base with genetic data for 7 million people.
- Levi & Korsinsky, a recognized law firm, is taking legal action, indicating support for affected customers.
- The data breach compromised the personal genetic information of 7 million users.
- Specific targeting of Jewish and Chinese customers could result in significant reputational damage.
- Delayed disclosure and lack of transparency may lead to loss of trust among users.
- Potential legal and financial repercussions from the class action lawsuit.
- Customer data was sold on the dark web, posing safety risks.
Insights
The data breach at 23andMe, affecting 7 million users, underscores the urgent need for robust cybersecurity measures in handling sensitive personal information. The specific targeting of Jewish and Chinese customers highlights a disturbing trend in cyber threats where attackers focus on particular demographics. The implications for 23andMe are severe, as this breach not only exposes a substantial number of users but also suggests significant vulnerabilities in their data security protocols.
For investors, this breach could mean increased spending on cybersecurity to prevent future incidents, potentially impacting profit margins. Additionally, trust in 23andMe's ability to safeguard customer data could be compromised, leading to reduced subscriber growth or higher churn rates.
The targeting and subsequent exposure of specific demographic data is particularly troubling, raising questions about the company's transparency and integrity. The delayed disclosure of the breach and the concealment of targeted demographic details may lead to severe legal repercussions and damage customer trust.
Rating: -1
The class action lawsuit against 23andMe could have significant legal implications for the company. The fact that the company allegedly concealed the specific targeting of Jewish and Chinese users when notifying affected customers can be seen as a breach of their fiduciary duty to provide transparent and comprehensive disclosure. This concealment might be interpreted by the court as negligence or even intentional misconduct.
Investors should be aware that this lawsuit, depending on its outcome, could result in substantial financial liabilities for 23andMe. Legal battles are often lengthy and costly, potentially distracting the company from its core operations. Moreover, the negative publicity surrounding the lawsuit could further damage the company’s reputation and consumer trust, leading to long-term brand damage.
Rating: -1
The breach at 23andMe and its subsequent handling of the situation could severely impact customer perception and trust. For a company dealing with highly sensitive genetic and personal data, trust is paramount. The breach and the company's delayed and incomplete communication may lead customers to question their data safety and privacy with 23andMe, potentially driving them to competitors.
The targeting of specific ethnic groups adds another layer of complexity, as it brings issues of racial and ethnic targeting to the forefront. This could lead to increased scrutiny not only from customers but also from advocacy groups and regulatory bodies. Furthermore, the handling of the breach might result in negative press, affecting 23andMe's brand equity.
Short-term, the company might see a spike in cancellations and a dip in new subscriptions. Long-term, rebuilding trust will require transparent and proactive customer engagement strategies, alongside significant improvements in data security.
Rating: -1
NEW YORK, NY / ACCESSWIRE / May 16, 2024 / 23andMe (NASDAQ:ME) was hacked in December 2023, affecting approximately 7 million users of its genetic services website. According to a recently filed class complaint, hackers who infiltrated 23andMe's system were after the personal information of Jewish and Chinese customers, but the company hid that detail when notifying affected customers.
The hackers specifically targeted the personal genetic information of Jewish and Chinese customers and compiled that data - including genetic heritage, names, and addresses - into lists that were then sold on the dark web, but 23andMe concealed both those revelations when it announced the extent of the breach in December 2023.
According to the lawsuit, the hacker leaked a list of over 1 million Jewish customers expressly in retribution for the Israel-Hamas war. The hacker was also more than happy to leak a list of 350,000 Chinese customers upon request from a user with the alias "Wuhan."These lists generated a huge amount of interest from hackers on the dark web from all over the world and were shared and reshared an untold number of times.
The disclosure of these lists threatens the safety of those customers, including from the Chinese government, which has a long history of tracking Chinese citizens.
According to the lawsuit,to this day, 23andMe has not informed the 7 million compromised customers that their personal genetic information was disclosed on the dark web, nor has it told its Jewish and Chinese customers that they were specifically targeted.
IF YOU ARE A VULNERABLE person whose personal genetic information identifies you as having Ashkenazi Jewish heritage or Chinese ancestry, and/or live in California, Illinois, Oregon, or Alaska, please contact us to review your rights and eligibility for compensation:
ADDITIONAL BACKGROUND:
According to a recently filed class action complaint, on Oct. 1, 2023, a hacker using the alias "Golem" leaked the 23andMe data of 1 million Ashkenazi Jews on Breach Forums, calling it "the most valuable data you'll ever see."
"Golem's explicit targeting of Jewish 23andMe users is further conveyed by his use of the character 'Gollum' from The Lord of the Rings - a creature driven by greed with ugly and outsized facial features - as his profile picture."
A few hours later, a user with the alias "Wuhan" asked Golem if he had "Chinese accounts," according to the complaint. The next day, Golem leaked the data of 7 million users, saying in the post that the customer information included phenotype and health information, photos, and identification data.
Golem listed prices for the customer profiles at
Interest in the leaked Jewish and Chinese information was immediate and overwhelming following an Israeli bombing of a Palestinian hospital.
23andMe attempted to shift the blame to customers, telling them the breach was a result of customers using recycled login credentials from their accounts on other websites.Further, 23andMe then waited until December to report that 7 million customers were directly affected by the breach and didn't say anything about the data being sold on the dark web or that Jewish and Chinese customers were specifically targeted.
Levi Korsinsky, LLP is investigating whether affected customers are entitled to compensation. If you have received a notice about the data breach, you may be entitled to compensation. There is no cost or obligation to participate. Follow the link below to find out more:
Levi & Korsinsky is a nationally recognized consumer advocacy law firm that has recovered hundreds of millions of dollars against large corporations. The firm's team of over 70 extraordinary attorneys and professionals have a winning track record going against the most powerful defense attorneys in the world and know how to maximize your compensation. The firm is a
CONTACT:
Levi & Korsinsky, LLP
Joseph E. Levi, Esq.
Ed Korsinsky, Esq.
33 Whitehall Street, 17th Floor
New York, NY 10004
jlevi@levikorsinsky.com
Tel: (212) 363-7500
Fax: (212) 363-7171
https://zlk.com/
SOURCE: Levi & Korsinsky, LLP
View the original press release on accesswire.com
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