These slides use concepts from my (Jeff Funk) course entitled Biz Models for Hi-Tech Products to analyze the business model for 23andMe’s personal genomics service. 23andMe provides personal health care analysis and ancestry information to individuals that are based on a partial analysis of an individual’s DNA data. Driven by the falling cost of DNA sequencing, 23 and Me provides this information for $99 and a small amount of saliva. While this business model may succeed particularly if the FDA eventually approves the health care portion of the service, we recommend that 23andMe develop a new business model. It should offer the service for free to individuals, particularly those who frequent gyms and nutrition stores and sell information about potential athletes to sports teams.
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