Elizabeth Holmes dropped out of Stanford to pursue her business venture, impressing notable figures and raising millions of dollars for Theranos.
Former employees and board members of Theranos raised concerns about the validity and functionality of the blood-testing technology, highlighting issues of deception, ethical concerns, and the impact on patients.
Deep dives
Elizabeth Holmes and Theranos
Elizabeth Holmes, the founder of healthcare company Theranos, gives testimony under oath in 2017 concerning an investigation into an alleged years-long fraud. Theranos, once valued at nearly $10 billion, faced allegations of making false claims about their blood-testing technology. The company raised millions from wealthy investors and had influential figures on its board. However, former employees and board members raised concerns about the validity and functionality of the technology. The episode explores the rise and fall of Theranos, highlighting issues of deception, ethical concerns, and the impact on patients.
Elizabeth Holmes' Early Years
Elizabeth Holmes, at a young age, expressed a determination to change the world and had a keen interest in innovation. Raised in a prestigious family, she was influenced by her father's connection to the Florman Yeast fortune and her great-uncle's medical legacy. Holmes attended Stanford University but dropped out to pursue her business venture. She impressed notable figures, including Channing Robertson, a professor, and began raising millions of dollars for Theranos. However, concerns about her lack of experience and the feasibility of her ideas started to emerge.
Troubles Within Theranos
Former employees of Theranos describe a tumultuous work environment marked by secrecy, turnover, and distrust. Many former Apple employees were recruited, but they soon discovered that the promise of revolutionizing blood testing was not based on solid technology. Whistleblowers raised concerns about inaccurate results, patient safety, and ethical issues. Elizabeth Holmes' management style often involved disregarding dissenting opinions, leading to a lack of transparency and a disregard for scientific accuracy.
Departures and Controversies
As concerns about Theranos grew, employees like Anna Arriola, Justin Maxwell, and Ovy Pgenes decided to leave the company. They cited ethical concerns, the suppression of information, and a culture of deception. Former board members, like Don Lucas and Avie Tevanian, also expressed disillusionment and frustration. Despite these departures and controversies, Theranos continued to attract new employees and investors, highlighting the power of Elizabeth Holmes' charisma and the allure of the company's mission.
On the premiere episode of The Dropout, you'll meet a young Elizabeth Holmes. Convinced of her own destiny even as a young child, she would come to drop out of Stanford in her late teens, intending to mold herself after the great tech icons of our time. Her obsession with Steve Jobs -- down to his signature black turtlenecks -- would become particularly pronounced as she launched her company Theranos.
