Elizabeth Holmes is a name you may have heard lately. She’s the founder of Theranos, a company that promised to revolutionize the way we test for blood sugar levels. Well, that didn’t quite turn out as planned. But even amidst all the controversy and scandal, Holmes has kept her magazine company—formerly known as Elizabethan—running. In this blog post, we will explore how she does it and what other serial entrepreneurs can learn from her tactics.
How Elizabeth Holmes Built Theranos
Theranos, the hugely hyped and now defunct Silicon Valley startup founded by Elizabeth Holmes, was once hailed as a revolutionary company that would change the way we all get checked for diseases. But in 2015, after years of revelations about how Theranos operated and the allegations of fraud and deception that followed, it was all over.
How did this young woman from Stanford University become such a figurehead in Silicon Valley? And what went so wrong with her wildly ambitious enterprise?
According to The Wall Street Journal, it all started when Holmes met Ramesh Balwani, a pharmacist and entrepreneur, at a dinner party in 2007. Balwani reportedly introduced her to Jimmy Wales, then the chairman of Wikipedia and now the founder of news site Vox Media. Wales was so impressed by what he saw that he decided to do a story on her company.
Holmes’ big idea was to develop a device that would allow people to get blood tests without having to go through a doctor or nurse. She had been working on it for several years before pitching it to investors in 2013. She claimed that her device could run tests much faster than traditional methods and be cheaper too – something that sounded too good to be true.
She attracted investment from some big names in Silicon Valley including Draper Fisher Jurvetson (DFJ), In-Q-Tel (now part of Blackwater), and CapitalG (now part of GV). But even with their backing,
How Elizabeth Holmes Deceived Investors
As the founder and CEO of Elizabeth Holmes’ Theranos, Inc., which was once valued at $9 billion, Holmes was one of Silicon Valley’s most well-known and successful young entrepreneurs. However, her empire now stands in ruins after it was revealed that she had misled investors about the capabilities of her proprietary blood testing technology.
Holmes’ fall from grace began in 2015 when The Wall Street Journal published an article accusing her company of using fake data to promote its products. According to the Journal’s report, Theranos had been using “fake data from a small number of patients as part of a larger deception.” As further evidence emerged, including footage showing Holmes demonstrating how technology could be used to accurately test blood samples even quickly and without pain, the value of her company plummeted.
In light of these revelations, Holmes was indicted by federal prosecutors on two counts of fraud and one count of conspiracy to commit wire fraud in early April 2018. She has since been released on $500,000 bail and is scheduled to appear in court again later this year.
How Elizabeth Holmes Went to Jail
Elizabeth Holmes, the founder and CEO of Theranos, has been in jail for four months now. This is because she lied to investors and regulators about the accuracy of her technology. She was also charged with wire fraud, which carries a potential sentence of up to 20 years in prison. However, the main reason why Elizabeth Holmes went to jail is because she failed to meet promised milestones for her company. The former Stanford student claimed that her invention could quickly and easily perform many common medical tests. Unfortunately, this was not true. In fact, it was later discovered that Theranos’s technology only worked correctly a fraction of the time. As a result of these failures, Elizabeth Holmes has been forced to spend time behind bars.
What Happens to the Company Now
Now that Elizabeth Holmes has been charged with fraud, the future of her company, Theranos, is uncertain. The company Holmes founded in 2003 as a way to revolutionize blood testing is now under scrutiny after it was revealed that she had lied about the accuracy of her tests. Theranos’ main product was a machine that would allow for direct blood draws from patients without the need for needles. However, it has been alleged that the machine was not accurate and could not be used for medical purposes. Despite this, Holmes raised over $700 million from investors before being charged with fraud earlier this year. If convicted, she could face up to 20 years in prison. In the meantime,Tectful Solution Theranos’ assets have been seized by the FBI and its business is currently being run by a temporary executive team.
It is unclear what will happen to Theranos now that its founder and CEO Elizabeth Holmes has been charged with fraud. If convicted, she could face up to 20 years in prison. While its assets have been seized by the FBI, it is unclear what will happen to the company’s operations or its employees.