23andMe Sells Data for Drug Search

"Welcome to You.” So says the genetic test kit that 23andMe will send to your home. Pay $199, spit in a tube, and several weeks later you’ll get a peek into your DNA. Have you got the gene for blond hair? Which of 36 disease risks could you pass to a child?

Run by entrepreneur Anne Wojcicki, the ex-wife of Google founder Sergey Brin, and until last year housed alongside the Googleplex, the company created a test that has been attacked by regulators and embraced by a curious public. It remains, nine years after its introduction, the only one of its kind sold directly to consumers. 23andMe has managed to amass a collection of DNA information about 1.2 million people, which last year began to prove its value when the company revealed it had sold access to the data to more than 13 drug companies. One, Genentech, anted up $10 million for a look at the genes of people with Parkinson’s disease.

That means 23andMe is monetizing DNA rather the way Facebook makes money from our “likes.” What’s more, it...