Theranos, a startup based in Silicon Valley looks like to go out of work following to its failure of delivering a revolutionary lab testing at the time of accusation of fraud.
The startup has a plan to go out of the world without making any noise. Once expressed as a new way that can revolutionize the way a blood test can detect the myriad illness, and all these just with a single finger prick, the startup is doing the preparation of closing its operations, as per the letter delivered to the shareholders.
Chief Executive & General Counsel, David Taylor, Theranos informed, “We do not have much time,” to the investors via an email on Tuesday as reported by the ESJ (Wall Street Journal), of which the thorough investigation ragged the claim of the company. Mr. Taylor didn’t reply any further about it, by saying that everything is in the letter.
The start-up was founded by Elizabeth Homes, 19, a dropout from Stanford University, claimed to revolutionize the whole lab and diagnostic industry, offering much easier blood test and to provide it in much cheaper cost compared to the earlier methods.
When the company was its peak, it was estimated with a huge $9B, and the founder was promoted as one of the most successful female entrepreneurs of the nation. But the question arises here is regarding the accuracy of the test provided by the company, and regulatory body of the state has stopped Ms. Holmes form operating the laboratory a tenure of 2 years in 2016.
In March, Ms. Holmes was charged by the SEC of fraud, made allegations that she has exaggerated and even lied about the technology she owns. The SEC said Ms. Holmes and Theranos were agreed on making a settlement.
There has been a book by the WSJ reporter titled “Bad Blood: Secrets and Lies in a Silicon Valley Startup,” and we will soon going to see a movie on it.