Phoebe Gates: Building Phia, an AI Shopping Empire, on Her Own Terms
Phoebe Gates, the 23-year-old daughter of Microsoft founder Bill Gates and philanthropist Melinda French Gates, is determined to make her mark on the tech world – and she’s doing it without leaning on her family name. Her AI-powered shopping company, Phia, recently secured $35 million in funding, valuing the startup at approximately $185 million. However, Gates is adamant that Phia’s success will be built on merit, not privilege.
A Drive to Prove Herself
“I have a chip on my shoulder,” Gates confessed in an interview with Yahoo Finance’s Opening Bid Unfiltered podcast. She’s driven to demonstrate that she can attract investment and build a thriving business in Silicon Valley based on the strength of her idea and execution, not simply her lineage. This determination comes amidst ongoing scrutiny surrounding her father’s past associations, though representatives for Bill Gates have consistently denied any wrongdoing.
Phia: Your AI-Powered Personal Shopper
Co-founded with Stanford University roommate Sophia Kianni, Phia is an AI shopping assistant designed to simplify the online shopping experience. The browser extension, compatible with Chrome and Safari, compares prices across thousands of retailers and resale sites in real-time, helping consumers find the best deals. Imagine finding a dress at Anthropologie for $200 – Phia can instantly identify the same dress, or similar options, at a lower price on second-hand platforms.
As Gates explained to Fortune’s Emma Hinchliffe, Phia’s target consumer is a “young woman who’s hustling. She shops like a genius, but she doesn’t want to waste her time doing it.” Since its app launch in 2025, Phia has experienced rapid growth, attracting hundreds of thousands of downloads as investors increasingly focus on AI “agents” that automate everyday tasks.
Funding and Future Vision
The recent $35 million funding round, led by Notable Capital with participation from Kleiner Perkins and Khosla Ventures, underscores the growing confidence in Phia’s potential. This investment follows an initial $8 million seed round raised less than a year prior. Crucially, Gates has refused financial support from her parents, insisting on securing outside capital to validate Phia’s business model independently.
Navigating Investor Bias
The journey hasn’t been without its challenges. Gates and Kianni have faced uncomfortable questions from investors about their future family plans, a frustrating experience that highlights the biases women entrepreneurs often encounter. However, Melinda French Gates offered powerful advice: “Get up or get out the game.” This mantra now serves as a source of motivation for Gates as she navigates the demanding world of venture capital.
“The chip on my shoulder is not only proving myself but building something, you know, novel and unique that consumers actually love,” Gates stated. She’s determined to prove that Phia is more than just a “nepo baby” project – it’s a legitimate, innovative business with the potential to disrupt the online shopping landscape.
Source: Fortune
