“I believe in the company. I believe in the long-term mission. But I believe it’s important for us to restructure,” Wojciech told “CBS Mornings” co-host Gayle King in an exclusive interview.
Wojcicki acknowledged recent headlines about the California-based company’s struggles, including one Data security event at the end of 2023a Full board resignation In September, and Laying off 40 percent of the company’s workforce In one in November public letter, “It is clear that we differ on the strategic direction of the company going forward,” the seven board members said.
The announcement came as a surprise to Wojciech, saying that he “doesn’t have a good idea of what the strategic differences are” and that “there were no clear differences.” Wojciech said recently. plans to take the company private. and is not open to consideration of third party takeover proposals.
“I will make it. [mistakes]And I will learn from them.”
Former 23andMe employees were critical of Wojciech’s management style in an October interview. Fortune Magazine – with one calling her “outwardly charming, but stubborn and controlling behind the scenes”.
“I love getting feedback. Like, one of my favorite things…” Wojciech said.
Wojcicki said she encourages everyone to voice their opinions and share suggestions.
“At the core of what 23andMe does…we’re about consumer empowerment and research. OK. So help me navigate because it’s never been done before. So I’ve got all these reasons. It’s nice to get feedback because it’s never been done before.” Wojcicki explained. “We’re doing all kinds of things for the first time. So we’re going to make mistakes. I admit them all 100%. But… my commitment to the world has always been that I’m always going to learn from my mistakes. I’m going to make them. I’ll make it, and I’ll learn from them, and we’ll move forward.”
Wojcicki sent emails to “CBS Mornings” that she says the company has received in support of 23andMe, including one from Rebecca Jones, 70, who helped raise awareness of the growing risk of Alzheimer’s. Thanks to the company. Stories like these show the company provides real value, Wojcicki said.
When asked by “CBS Mornings” if he was concerned about his data after the 2023 security incident at the company, Jones said, “I have to have some confidence in the integrity of 23andMe, as I trust my therapist. I’m sure they’re going to protect it and I’ll see if I should download my data.”
Wojcicki’s future plans for 23andMe
23andMe’s stock has fallen nearly 98% since 2021, when it went public. The company, once worth $6 billion, now has a market cap of about $80 million. In its most recent quarter, the company reported a net loss of $59.1 million.
“How does a company survive when it loses 98 percent of its value?” King asked.
“I think the market cap and the reality of the company are always two different realities,” Wojcicki said. “We’re absolutely in a situation where we’re figuring out cash burn and we’re looking at all the ways we can generate revenue. are going to increase.”
To help grow revenue, Wojcicki said the company is focusing on its subscription service, where members can gain more insight into their health. With a premium membership, users get health and genealogy kits, discover things like their historical match, receive new research reports on health outcomes – such as new types of breast cancer – and more.
“People have done 23andMe, and they love it. And we see over 50% of our customers come back on a quarterly basis, so they’re engaged,” Wojcicki said, adding that it shows. That “they want more.”
Wojcicki said the recent layoffs, which affected more than 200 employees, were also an effort to help cut costs.
“Right now the focus is 100% on making 23andMe sustainable. And I’m not going to do research initiatives at my expense anymore. So we’re going to focus on — you know, consumer businesses, subscriptions, and research partnerships. And I absolutely think, like, 23andMe will, you know, turn around at some point to be profitable,” Wojcicki said.
Wojcicki said he believes that in 2025, the company will be “growing and thriving.” In five years, it will “transform health care,” he told King.