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BackPhia Accused of Cookie Stuffing, Suspended from Affiliate Platform
Phia Accused of Cookie Stuffing, Suspended from Affiliate Platform
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TechCrunch1d agoBusiness2 min readUnited States

Phia Accused of Cookie Stuffing, Suspended from Affiliate Platform

Quick Look

  • Shopping startup Phia, co-founded by Phoebe Gates and Sophia Kianni, faces accusations of "cookie stuffing" to falsely claim sales commissions.
  • This led to its suspension from Impact.com, with a Bloomberg investigation detailing how Phia allegedly overrode other affiliate codes during checkout.

AI-generated summary

Why It Matters

Phia, a shopping startup co-founded by Phoebe Gates and Sophia Kianni, is accused of "cookie stuffing," a practice that allegedly generated fraudulent sales commissions. This has led to its suspension from Impact.com.

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Phia, the shopping startup co-founded by Bill Gates’ daughter, Phoebe Gates, and Sophia Kianni, has been accused of a practice known as “cookie stuffing,” which may have helped the product receive commissions and credit for sales it did not actually generate, according to a Bloomberg investigation.

The report has sparked controversy and led to Phia’s suspension from Impact.com, a leading affiliate and influencer platform. Other startups have been sued over “cookie stuffing,” notably Honey, which is owned by PayPal and remains the subject of an ongoing class action lawsuit.

Founded in 2025, Phia has raised more than $40 million in funding and has a star-studded list of investors, including Kim Kardashian and Hailey Bieber. The startup developed an app as a browser extension that works somewhat like Google Flights, but for shopping. Phia helps customers find the lowest-priced items across various retailers as well as discount codes to use when shopping. The company takes a commission on purchases made through the platform through an industry practice known as affiliate marketing.

The Bloomberg investigation, as well as findings from an independent consultant and a competitor, found that if a user shopped at an online retailer — even if they arrived at the site on their own or through another affiliate program like Wirecutter — Phia would open a new tab in the background. During the checkout process, Phia would override the referral codes from other affiliates and instead inject its own, allowing it to take credit for and potentially receive a commission on a purchase it didn’t earn.

Once the issue was flagged to Phia, a spokesperson told Bloomberg that all necessary changes had been made to fix the issue. A check by Bloomberg found the issue had been resolved. It’s unclear if the fix is enough to satisfy the retailers and affiliate partners that work with Phia.

TechCrunch reached out to Phia for comment and has not received a response.

What to Watch

AI outlook — possibilities, not facts

  • Phia may face lawsuits from affected retailers and affiliate partners.

    Likely · Within months

Open Questions

  • Will Phia face legal action?
  • What is the full extent of the financial damage?
  • Will retailers and partners be compensated?

Related Topics

This article was originally published by TechCrunch.

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