The most damaging revelation in the article was that the nanotainers themselves were so flawed that Theranos had been using equipment made by other companies to carry out blood tests in its laboratories. Founder and former CEO Elizabeth Holmes is facing criminal charges. "For example, allegedly, Holmes and Balwani knew that the analyzer, in truth, had accuracy and reliability problems, performed a limited number of tests, was slower than some competing devices, and, in some respects, could not compete with existing, more conventional machines".
His first expose on the company's technology ran in October 2015, and Theranos voided two years of its blood tests just seven months later.
She carefully crafted her image as well, wearing nearly entirely black turtleneck sweaters that earned her the moniker in Silicon Valley as 'the next Steve Jobs'.
Theranos, the once-celebrated Silicon Valley blood testing firm, is about to dissolve itself months after top executives were indicted for defrauding investors, the Wall Street Journal reported on Wednesday.
Theranos founder Elizabeth Holmes was once lauded as the youngest self-made female billionaire.
Investors bought what Holmes was selling and invested hundreds of millions of dollars in the company.
The indictment by the U.S. Attorney in San Francisco alleging wire fraud follows claims by the U.S. Securities and Exchange Commission that Theranos, Holmes and Balwani lied about its technology while raising more than $700 million to build the medical-testing startup. Walgreens ended its blood-testing partnership with the company, and the Department of Health and Human Services effectively banned Theranos in 2016 from doing any blood testing work. Holmes settled with the SEC, agreeing to pay $500,000 in fines and penalties.