Phia App co-founders Phoebe Gates and Sophia Kianni are accused of pushing features in the e-commerce startup’s software that attributed sales to the company’s technology, even when those sales were allegedly not driven by it. Bloomberg and Inc. report that internal communications show the founders were involved in promoting or requesting these capabilities.
All reports describe similar timing: the founders knew about the practice for months before Phia’s fundraising. Bloomberg says the issue was known for at least seven months and that the co-founders were aware of how the affiliate technology could be credited for purchases it did not generate. Inc. also links the alleged awareness to the period leading up to Phia’s $35 million Series A.
While the outlets focus on different aspects—Bloomberg emphasizes the internal communications and the founders’ awareness, and Inc. highlights the company’s marketing of revenue growth alongside the allegations—both describe the same core claim: the software may give credit for sales that the system did not actually drive.
