Phoebe Gates, the youngest daughter of Bill Gates and Melinda French Gates, has successfully secured $30 million in funding for her nascent artificial intelligence company, Phia, in one of Silicon Valley’s fastest recent capital raising rounds.
The new funding round values Phia at $180 million, only months after completing its initial $8 million seed round in September. The speed with which the company increased its valuation is considered unusual for a startup still within its first year of operation.
Gates co-founded the company with Sophia Kianni, her former classmate at Stanford. From the outset, Phia managed to attract the attention of celebrities and powerful investors, demonstrating its momentum in the competitive technology sector.
Phia’s High-Profile Supporters
According to a pitch deck cited by Bloomberg, Phia has already secured backing from names including Hailey Bieber, Kris Jenner, Sheryl Sandberg, and Sara Blakely, the founder of Spanx. The presence of such celebrities and established entrepreneurs supports Phia’s image as a startup with high potential.
Notable Capital, led by Hans Tung—an investor with experience in companies like Anthropic and Airbnb—led the new funding round. Khosla Ventures, with Keith Rabois, and Kleiner Perkins, one of the longest-standing players in venture capital, also participated in the funding. This backing lends credibility to the company and indicates that Phia is attracting investors with deep market knowledge.
What Exactly Does Phia Do?
Phia presents itself as an AI shopping assistant, designed to reduce the digital clutter users encounter during online shopping. The company’s main product is a browser-integrated tool, available for Chrome and Safari, that allows users to compare prices, track discounts, and find products across retailers and resale platforms.
Since its launch, the application has surpassed 750,000 downloads in eight months, proving its market appeal and the user need for a tool that simplifies the online shopping process.
The Evolution of the Idea
Phia did not originate in its current form. Gates and Kianni started working on the idea in their Stanford dorm room, initially exploring the concept of a “smart tampon.” Their idea subsequently evolved into an AI-powered fashion and product search engine, aiming to simplify the digital consumer experience.
The transformation of the initial idea into a high-tech product demonstrates the founders’ ability to adapt to market needs and exploit the potential of artificial intelligence.
Phia’s Position in the AI Agent Market
Phia enters the rapidly growing category of AI agents—software that automates digital tasks on a large scale. According to the pitch deck, Phia compares itself to companies like Harvey (legal tech, valued at $8 billion), Mercor (HR automation, valued at $10 billion), and Cursor (AI dev tools, valued at approximately $30 billion).
The AI agent space is experiencing an investment boom as companies and consumers seek solutions that reduce the complexity of daily digital processes. Phia appears to have found its niche in this market, combining cutting-edge technology and user experience.
Phoebe Gates’ Personal Challenge
Phoebe Gates, who graduated from Stanford in 2024 with a degree in human biology, faces her own public trial as an entrepreneur. Despite the public label of “nepo baby,” she has successfully created a company with real momentum, earning the trust of both celebrities and experienced investors.
Gates has spoken openly about her desire to build an identity beyond her family legacy. Through Phia, she aims not only to improve the technological experience for users but also to promote more inclusive leadership in the AI and technology space.
The Family Context
Phoebe is the youngest of Bill and Melinda French Gates’ three children. The couple married in 1994 and divorced in 2021 after 27 years of marriage. Following the divorce, Melinda left the Gates Foundation and received $12.5 billion to fund her own philanthropic initiatives.
Bill Gates has stated that he intends to leave his children less than 1% of his fortune, arguing that a large inheritance would not be a true “blessing” for them. This stance reinforces the idea that Phoebe seeks to create something of her own merit, relying on her abilities and entrepreneurial judgment.
Phia is now one of the most promising startups in the technology sector, with a mission to redefine how users interact with online shopping through AI. The rapid growth, impressive investor list, and innovative application capabilities show that Phoebe Gates has managed to turn a student project into a startup with high prospects.
Phia’s trajectory will be closely monitored, not only as a technological venture but also as Phoebe Gates’s personal attempt to prove she can build something significant and independent, away from her father’s shadow.
(information from huffingtonpost.gr)