NewsCalifornia News

Actions

What will Silicon Valley learn from Holmes' conviction?

Theranos Founder Fraud Trial
Posted at 6:25 AM, Jan 04, 2022

SAN JOSE, Calif. (AP) — The fraud conviction of former Theranos CEO Elizabeth Holmes could offer Silicon Valley some valuable lessons about the dangers of hype and hiding problems.

Will anyone take them to heart? Don't count on it. Holmes was convicted of duping investors into believing her startup Theranos had developed a revolutionary medical device that could detect a multitude of conditions from a few drops of blood.

But it's not clear just what startup founders and their investors will learn, not least because “fake it ‘til you make it” is deeply embedded in a tech industry that has largely thrived because of it.