In Brief

Posted:

5:29 PM PDT - July 10, 2026

Phia, the shopping startup co-founded by Bill Gates' daughter Phoebe Gates and Sophia Kianni, faces accusations of cookie stuffing that allegedly allowed it to earn commissions on purchases it never influenced, according to a Bloomberg probe.

The findings triggered backlash and prompted Phia’s removal from Impact.com, a top affiliate network. Similar tactics have drawn lawsuits against other firms, such as Honey owned by PayPal, which still faces a class action case.

Launched in 2025, Phia secured over $40 million in backing from notable figures including Khloe Kardashian and Hailey Bieber. Its browser extension functions like a deal finder, scanning retailers for lower prices and promo codes while earning affiliate fees on completed transactions.

Bloomberg, along with an outside expert and a rival firm, discovered that Phia would launch a hidden tab when users visited stores directly or via other programs like Wirecutter. At checkout, it would swap out existing referral codes with its own to intercept credit and potential payouts.

After notification, a Phia representative informed Bloomberg that adjustments were implemented to address the problem. Follow-up verification confirmed the behavior had stopped, though questions remain about whether partners will be satisfied.

TechCrunch contacted Phia for input but received no reply.

This piece was revised to clarify the celebrity backers involved.

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