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2 clusters · 33 sources · 3 days · First seen · Last updated

Phia startup cookie stuffing allegations

Overview

Phia, an AI-powered shopping startup co-founded by Phoebe Gates and Sophia Kianni, is facing allegations of fraudulent ‘cookie stuffing’ practices. The company’s browser extension reportedly used a tactic to secretly open background tabs to insert affiliate tracking cookies on users’ devices, allowing the startup to claim commissions even when it did not facilitate the actual transaction.

While Phia representatives initially characterized the issue as a technical bug that had been resolved, investigations citing internal Slack messages suggest leadership may have been aware of the practice for months. Reports indicate that Gates and Kianni were aware of the situation as early as December 2025, with internal communications suggesting an active effort to ensure cookies were being dropped to maximize monetization.

The alleged scheme impacted numerous retail brands, including Nike, Gap, and Nordstrom. Following the removal of the feature in July, Phia’s daily revenue reportedly saw a significant decline, dropping from approximately $80,000 to between $10,000 and $28,000.

Legal experts have noted that such actions could potentially be prosecuted as federal wire fraud in the United States, a charge that carries a maximum penalty of 20 years in prison. However, experts suggest that immediate consequences are more likely to involve significant civil lawsuits and financial penalties from affected business partners and affiliates.

Entities

Bill Gates · Bloomberg · Sophia Kianni · Phia · Phoebe Gates

Timeline

  1. 29 days ago

    [BUSINESS] 18 sources
    Phia startup faces allegations of illicit cookie stuffing

    Phoebe Gates and Sophia Kianni face allegations that their startup, Phia, used “cookie stuffing” to illicitly claim sales commissions, a practice that could lead to federal wire fraud charges.

  2. about 1 month ago

    [BUSINESS] 16 sources
    Phoebe Gates faces scrutiny over Phia 'cookie stuffing' allegations

    Phoebe Gates and co-founder Sophia Kianni face allegations of 'cookie stuffing' at their startup Phia, a practice that could lead to federal wire fraud charges and up to 20 years in prison.

Sources

arynews.tv · athensmagazine.gr · baocalitoday.com · dnyuz.com · doviz.com · es.digitaltrends.com · filmdaily.co · fortune.com · futurism.com · halktv.com.tr · hellenicshippingnews.com · ibtimes.co.uk · in.hellomagazine.com · internewscast.com · kenh14.vn · lavanguardia.com · lifo.gr · mobilecrunch.com · mreza.bug.hr · nemosnewsnetwork.com · nra.lv · okmagazine.com · rt.com · sgtreport.com · slovenskenovice.si · taiwanholidays.com · techbyte.sk · technotoday.com.tr · theamericantribune.com · u-s-news.com · us.hola.com · vesti.bg · www1.pluska.sk

This summary has been updated 2 times: see revision history