The main criticism from outsiders all along has been that blood drawn from a pin-prick just has too much variability for reliable blood testing. Which in turn means that Theranos’ approach to blood testing was never going to work for anything quantitative - it might be OK for 'is this chemical present or not' but not for anything else.
They spent a long time using traditional blood tests alongside their pin-prick versions (this is the service they were selling to Walgreens(?) - presumably they used their investor cash to subsidise the service & undercut their more traditional competitors) whilst trying to get the pin-prick to work but they couldn’t even manage to do those correctly.
How they managed to get this far is a question of hubris and investor gullibility. There’s also the possibility of outright fraud, but we don’t know if that was the case at this point.