AI-powered shopping assistant Phia has been accused of using "cookie stuffing" to claim affiliate commissions for purchases it did not generate, according to a Bloomberg investigation. The company says the issue has now been resolved.
Phia is an AI shopping tool co-founded by Phoebe Gates, daughter of Bill Gates, and Sophia Kianni in 2024. The browser extension finds discount codes and helps users compare prices across retailers, earning a commission on qualifying sales.
As Kianni said in a recent interview: "more than 1.5 million users rely on Phia to search over 350 million products in real time".
The New York-based start-up recently closed a Series A funding round, raising more than $35.5 million. Its celebrity investors include Kris Jenner, Sydney Sweeney, Alix Earle, Jessica Alba and Paris Hilton.
Following an investigation by Bloomberg, alongside independent testing by researcher Ben Edelman, it was concluded that Phia claimed commissions from retailers for sales it did not generate.
After testing the extension across more than 50 websites, Bloomberg found that, during the checkout process, the extension automatically opened a background tab that loaded Phia's affiliate link to the retailer's website. This ensured its tracking cookie was set, replacing referrals from other publishers and advertisers.
Because this occurred only on mobile web browsers, users were unable to notice the additional tab opening before it closed again within seconds.
According to Bloomberg, this behaviour violated the terms of service of several major affiliate networks, including Impact.com, CJ Affiliate, Rakuten and Awin. It was observed on more than 50 major retail websites, including Walmart, Nike and Zara.
A Phia spokesperson acknowledged the issue, stating that it had since been resolved:
"Within the last 24 hours, we were made aware that in a recent release our codebase was causing misattributions from a subset of users. As soon as we were notified, our team worked overnight to identify, mitigate, and has since resolved the issue."
After receiving Phia's response, Bloomberg retested the browser extension and confirmed that it no longer automatically claimed referral clicks as it had previously done.
Read more
Oil prices fell after the U.S. expanded economic sanctions on Iran, as Tehran vowed to retaliate and warned it had tools to respond, raising concer...
Kyiv has recently received a small number of U.S.-made Patriot interceptors capable of downing Russian ballistic miss...
Country music legend Dolly Parton, whose songs, unmistakable style and warmth made her one of America’s most enduring entertainers, has died ...
Oil prices fell after the U.S. expanded economic sanctions on Iran, as Tehran vowed to retaliate and warned it had tools to respond, raising concerns over potential disruption to regional oil supplies.
Ukraine’s President Volodymyr Zelenskyy said on Monday that Kyiv wants peace but will not surrender to Russia, as foreign leaders joined Independence Day events marking 35 years since Ukraine’s independence.
Kyiv has recently received a small number of U.S.-made Patriot interceptors capable of downing Russian ballistic missiles, Ukrainian President Volodymyr Zelenskyy has said. It comes as Britain and France pledged stronger military support for Ukraine.
Only four commodity vessels crossed the Strait of Hormuz on Sunday, following 13 transits a day earlier, as disruptions continue to restrict traffic through the key energy chokepoint.
A newly created pro-government political party has secured a commanding victory in Kazakhstan's snap parliamentary election, according to exit polls, strengthening President Kassym-Jomart Tokayev's influence at a pivotal moment in the country's political transition.
Online fast-fashion retailer Shein is seeking to raise up to $1.77 billion in a Hong Kong IPO after its valuation fell around 70 per cent from its private-market peak four years ago.
Kazakhstan has received a fresh vote of confidence in its economy after S&P Global Ratings upgraded the country’s credit rating, citing stronger public finances, solid reserves and steady economic growth.
AnewZ Business Europe, a new weekday programme, takes viewers inside companies driving growth and innovation across the continent, with Brickken CEO Edwin Mata joining the programme for its first episode with host Chief Global Editor Guy Shone. The show airs every Friday.
Once associated mainly with Muslim-majority countries, Islamic finance has become a global industry. Its assets reached around $5.98 trillion in 2024, according to ICD-LSEG, as more countries explore Shariah-compliant finance.
Fuel restrictions have returned to parts of Moscow and the surrounding region, adding another strain to Russia’s economy as refinery outages and rising imports weigh on the rouble.
You can download the AnewZ application from Play Store and the App Store.
What is your opinion on this topic?
Leave the first comment