[Business Story] Rise and fall of Theranos
[Business Story] Rise and fall of Theranos
If you got five minutes, check out the story of Theranos, the Silicon Valley startup that wanted to make blood tests available for everyone. Founded in 2003 by 19-year-old Elizabeth Holmes from Stanford, the firm has been raising hundreds of millions and was considered as one of the most promising biotechnology companies.
Theranos’ ambition was indeed glorious: no more needles, just one drop of blood from your finger and you could be tested for dozens of diseases — at a price 100 times lower than current pharmaceutical tests.
But in October 2015, everything started to go wrong: a Wall Street Journal investigation, as well as several medical experts, expressed high doubts regarding the efficiency of Holmes’ technologies. A week later, the FDA revealed that it had found “major issues” in one of Theranos’s labs, hence deciding to close it.
We are still waiting for the disclosure of test results that could prove Theranos is real, but the markets are convinced Elizabeth Holmes lied about the technology. Lawsuits will take place, as other voices claim that Theranos simply is the victim of pharmaceutical lobbies not willing to let this revolutionary technology take away the huge money-cake they have been baking for years.
Originally published at knowledge.fredfarid.com.
