Bill Gates's Daughter's App Accused of 'Fake Clicks' to Earn Commission

Phia, a shopping app co-founded by Phoebe Gates, the youngest daughter of Microsoft co-founder Bill Gates, has been accused of misrepresenting online sales to earn affiliate commissions. The AI-powered browser extension allegedly registered "fake clicks" on retail websites, claiming credit for sales it did not generate. This practice, known as "cookie stuffing" or attribution fraud, involves injecting referral codes without user interaction to replace legitimate referrer codes.

An investigation by Bloomberg, Capital One Shopping, and researcher Ben Edelman found that Phia's app opened background tabs and inserted its own referral code during the checkout process. This conduct is considered a violation of many digital platforms' policies. Impact.com, a major affiliate network, reportedly suspended Phia's account due to behavior inconsistent with its platform policies.

A spokesperson for Phia acknowledged the issue in a statement to Bloomberg, stating that a "recent release" of their codebase caused misattributions for a subset of users. The company confirmed the codebase was introduced in December and that the issue has since been resolved. Phia also asserted that it undergoes regular audits by affiliate network partners and has "always maintained compliance." Subsequent testing by researchers in July reportedly found that Phia's extension no longer automatically claimed referral clicks.

Phoebe Gates, 23, launched Phia with co-founder Sophia Kianni, a former Stanford University roommate. The app aims to help shoppers find the best prices on clothing and accessories by comparing options from over 40,000 retail and resale sites. Phia operates on an affiliate revenue model, receiving a commission for sales made through its browser extension.

Since its launch in April 2025, Phia has seen rapid growth, reaching 20,000 downloads in its first week and over 370,000 within three months. By September 2025, the app surpassed 500,000 downloads and secured $8 million in funding, followed by an additional $35 million in January, valuing the company at $185 million one year after launch. Notable celebrity investors include Kris Jenner, Hailey Bieber, and SPANX founder Sara Blakely.

This is not the first controversy surrounding Phia. In November, cybersecurity researchers claimed the app was logging users' web browsing history, including sensitive data like bank statements and private emails. Phia's representatives explained at the time that the extension logged webpage content solely to identify new retail websites and never stored sensitive user data. The company also noted that users must agree to a pop-up acknowledging the tool's ability to "read and change all your data on all websites" upon download.

Phoebe Gates has previously stated that she has not received financial support from her parents for Phia, relying instead on outside investor funding. She expressed a desire to build a "generational" company independent of her family's name and privilege. Her father, Bill Gates, is among the world's wealthiest individuals. The company faced scrutiny last November when content creator Kacie Nicole Margis shared an Instagram exchange where Gates offered Margis early access to Phia in exchange for a paid social media promotion, citing Phia's "limited" budget as a startup.