There's a lot to be said about the data privacy/data ethics issues of the 23andMe bankruptcy.

One matter in particular stands out: the business model.

Based on this excerpt, 23andMe hadn't figured out a long-term plan beyond its one-time product.

23andMe never solved its central business problem: Customers only need to take its DNA test once. It tried alternative business strategies, including selling subscriptions, but those never caught on. It also sought to license its data to outside pharmaceutical companies to help with their drug-development efforts. But there, too, it struggled to find significant recurring revenue.

(source: "23andMe Files for Bankruptcy, as CEO Anne Wojcicki Resigns" – WSJ)

Sometimes "just get started and we'll figure out the business matters later" works!

Sometimes it doesn't.

And when you're a data company at heart, the lack of a strong, long-term business model puts your customers' info at risk.

A viable business model is a powerful form of risk control.