Bill Gates’ daughter Phoebe launches an AI-powered shopping app with her Stanford roommate, securing funding without touching her billionaire father’s fortune.
At a Glance
- Phoebe Gates, 22, launched Phia, an AI-powered shopping comparison app, without financial backing from her billionaire father
- The Stanford graduate partnered with roommate Sophia Kianni to create a platform that compares prices across thousands of online retailers
- The duo secured funding from Soma Capital, a Stanford grant, and angel investors instead of family money
- Bill Gates expressed relief that Phoebe didn’t ask him for funding, avoiding potential conflicts in business oversight
- The app launched April 24, emphasizing sustainable shopping by including both new and pre-owned fashion items
Making Her Own Way in Business
Phoebe Gates, the 22-year-old daughter of Microsoft founder Bill Gates, has stepped into the entrepreneurial arena with the launch of her e-commerce startup Phia. Unlike many children of billionaires who might tap into family wealth, the Stanford University graduate deliberately chose to raise capital independently. The fashion-focused app, developed with her college roommate Sophia Kianni, uses artificial intelligence to help shoppers compare prices across thousands of online retailers for both new and pre-owned fashion items, emphasizing sustainability alongside savings.
The young entrepreneur secured initial funding from several sources, including Soma Capital and a Stanford-endorsed grant, with additional backing from angel investors. Notably, Phoebe received mentorship from business heavyweights like Kris Jenner and Spanx founder Sara Blakely, establishing a support network distinct from her family connections. This independent approach has allowed her to build business credibility separate from the Gates name while learning the challenges of startup development firsthand.
Phoebe Gates, daughter of Bill Gates, just launched a fashion tech company with co-founder Sophia Kianni. Backed by vision not family funding—Phia is built to stand on its own. Gates is carving out her own path in tech with the launch of both the app and her podcast, The Burnouts pic.twitter.com/q2OW1uPdmy
— NYNext (@_NYNext) April 25, 2025
Bill Gates’ Surprising Relief
When Bill Gates learned about his daughter’s business venture, his initial reaction revealed volumes about the dynamics of wealthy families and entrepreneurship. “Oh, boy,” was his reported first thought, concerned she would ask for financial backing. The tech mogul later expressed significant relief that Phoebe chose an independent path for her startup, acknowledging the awkward position family funding would have created. This perspective highlights the challenge wealthy parents face in fostering genuine independence in their children.
“I would have kept her on a short leash and be doing business reviews, which I would have found tricky. And I probably would have been overly nice but wondered if it was the right thing to do.”, said Bill Gates.
Gates has been consistent in his approach to inheritance, having publicly stated that his children will receive less than 1% of his vast wealth. This philosophy stems from his belief that excessive inheritance could hinder their development and personal achievement. While he did provide some advice on personnel matters for Phia, Gates maintained appropriate distance from the business operations, allowing Phoebe to experience the authentic challenges of entrepreneurship that shaped his own journey.
Maternal Encouragement for Independence
Melinda Gates played a crucial role in encouraging Phoebe’s independent business approach. Rather than directing her daughter toward family resources, she advocated for the valuable learning experience that comes with raising capital and potentially facing failure on one’s own terms. This maternal guidance reflects a deliberate parenting strategy aimed at developing resilience and self-sufficiency despite the family’s enormous privilege.
Phia officially launched on April 24, 2025, with a business model based on affiliate link purchases. This approach creates a sustainable revenue stream without requiring direct consumer payment. Alongside the app, Phoebe and Sophia also launched “The Burnouts,” a podcast exploring challenges in corporate culture, demonstrating their broader interest in reshaping business environments. While Phoebe acknowledges the undeniable privilege of her upbringing, she has expressed feeling internal pressure to succeed on her own merits rather than family connections.
A New Generation’s Approach to Wealth
Bill Gates has consistently reinforced his philosophy on inheritance and children’s success through both words and actions. His approach with Phoebe’s business venture aligns perfectly with statements he’s made about wanting his children to establish their own identities separate from his wealth and influence. This parenting strategy represents a growing trend among ultra-wealthy families seeking to raise grounded, motivated heirs despite extraordinary privilege.
Phia enters a competitive e-commerce aggregation space dominated by established players. Bill Gates acknowledged this challenge, remarking, “Wow, a lot of people have tried, and there’s some big guys in there.” The app’s focus on sustainable fashion through including pre-owned items alongside new merchandise creates a distinct position in the market. This approach aligns with growing consumer interest in reducing fashion’s environmental impact while also addressing price consciousness in uncertain economic times.
