Limited Repeat Business: Unlike many successful tech companies that rely on recurring revenue, 23andMe's core product - the DNA test kit - is typically a one-time purchase. This has made it challenging for the company to sustain growth.

Subscription Model Struggles: Attempts to pivot towards a subscription-based model, offering ongoing health insights and reports, have not gained significant traction among consumers.

Regulatory Hurdles: The company has faced ongoing scrutiny from regulators, particularly the FDA, regarding health-related claims and the accuracy of its tests.