Bill Gates’ Daughter Phoebe Gates Breaks Silence as Shopping Start-Up Phia Faces Sales Controversy

Phoebe Gates’ AI shopping startup Phia fixes a coding issue after a controversy over incorrect affiliate commissions

Phoebe Gates’ AI shopping startup Phia has addressed a recent sales controversy after discovering and fixing a coding issue that reportedly caused the company to receive commissions from online purchases it did not generate.

Phia, which was co-founded by Bill Gates and Melinda Gates’ daughter Phoebe Gates and her Stanford roommate Sophia Kianni, said the problem was caused by a recent software update. The company confirmed that its team identified the issue and resolved it after being alerted to incorrect commission tracking involving a portion of users.

A Phia spokesperson said the company regularly undergoes compliance checks and audits while working to maintain transparency. The statement came after a Bloomberg investigation reported that an independent review of Phia’s browser extension found instances where the platform’s affiliate code was inserted during online checkouts.

The AI-powered shopping startup helps users find products and compare prices across retailers. According to the report, the browser extension allegedly allowed Phia to claim affiliate commissions on certain purchases even when the platform had not directly influenced the sale.

After Phia addressed the issue, further testing reportedly showed that the commission misattribution had stopped.

Phia has gained attention in the technology and fashion industries, raising $43 million from high-profile investors including Kim Kardashian, Karlie Kloss and Hailey Bieber. Phoebe Gates has previously said that building the company was driven by her desire to create a business independent of her family name and personal background.

The 23-year-old entrepreneur has also credited her parents, Bill Gates and Melinda Gates, for influencing her approach to leadership and company management.

Despite the recent controversy, Phia said it remains focused on improving its AI shopping technology and providing consumers with better online shopping experiences.