Embattled blood-testing start-up Theranos will close all its clinical labs and Wellness Centers, chief executive Elizabeth Holmes revealed in a public letter to "stakeholders."
The move came after months spent "assessing our strengths and addressing our weaknesses," she said in the letter that outlined a new focus for the former Silicon Valley darling.
The closures would impact about 340 workers in Arizona, California and Pennsylvania, "many of whom have devoted years to Theranos and our mission," Holmes said. Reuters reported that this was a 44 percent staffing cut, with the company employing about 790 full-time workers.
Theranos would now focus its "undivided attention" on its miniLab platform, Holmes said, adding, "Our ultimate goal is to commercialize miniaturized, automated laboratories capable of small-volume sample testing, with an emphasis on vulnerable patient populations, including oncology, pediatrics, and intensive care."
Theranos' miniLab is a self-contained laboratory that allows a robot to run a number of tests on samples. The miniLab contains different modules that allow it to conduct a series of tasks that traditionally would require multiple, separate machines.