What Happened To Theranos After 'Bad Blood' Was Published?

2025-06-29 12:53:20 184

3 Answers

Grace
Grace
2025-06-30 00:40:28
The fallout from 'Bad Blood' was nuclear. Theranos went from a $9 billion darling to a pariah within months. Federal agencies confirmed their Edison machines couldn’t perform most tests claimed—some samples were secretly processed using commercial analyzers. The Wall Street Journal’s follow-up reporting showed Holmes knowingly misled partners like Walgreens and the military.

Legal consequences were brutal. Holmes was convicted on four counts of fraud in 2022, sentenced to over 11 years in prison. Balwani got nearly 13 years. Their trials revealed shocking details: falsified reports, hidden device failures, even fake demonstrations using manipulated data. Investors including Betsy DeVos and Rupert Murdoch lost fortunes. Theranos’s remaining assets were sold for peanuts—patents went to a hedge fund for $5 million.

The cultural impact lasted longer. Documentaries like 'The Inventor' dissected the deception. Silicon Valley’s obsession with 'unicorns' faced scrutiny, pushing VCs to demand harder evidence. Medical tech regulations tightened, with new laws requiring stricter validation for lab devices. Holmes became a symbol of gendered double standards—some media initially painted her as a 'visionary' despite the fraud.
Quinn
Quinn
2025-07-01 18:44:46
After 'Bad Blood' exposed Theranos's fraud, the company collapsed spectacularly. The book's revelations triggered immediate investigations. Regulators like the SEC and FDA swooped in, uncovering massive discrepancies in their blood-testing tech. Elizabeth Holmes and Sunny Balwani faced criminal charges for defrauding investors and patients. The company voided two years of test results, admitting their devices were unreliable. By 2018, Theranos dissolved, leaving behind lawsuits and a cautionary Silicon Valley tale. Holmes' net worth plummeted from billions to zero as investors wrote off nearly $1 billion in funding. The scandal became a benchmark for startup hubris, taught in business schools as a warning against unchecked 'fake it till you make it' culture.
Isaac
Isaac
2025-07-02 22:17:25
Reading 'Bad Blood' felt like watching a slow-motion train wreck—Theranos’s implosion was inevitable yet gripping. The book’s publication in 2018 was the final nail. Overnight, corporate partners severed ties. Pfizer and Safeway sued for fraud. Theranos’s lab licenses were revoked, forcing them to halt all blood testing. Employees described chaotic layoffs; one told me they were escorted out by security mid-shift.

Holmes’s downfall was cinematic. Her deep voice and black turtlenecks, once iconic, became memes. The trial exposed how she’d weaponized Steve Jobs’ aesthetic without substance. Even her charity donations were revealed as PR stunts—she never actually gave the promised shares.

The scandal reshaped biotech investing. Now startups face tougher due diligence. If you want a deeper dive, check out the podcast 'The Dropout'—it captures the human drama behind the headlines. Meanwhile, Holmes’s attempts at comeback speeches flop spectacularly. Silicon Valley learned its lesson, but at a billion-dollar cost.
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