{"id":6606,"date":"2026-08-15T11:36:30","date_gmt":"2026-08-15T11:36:30","guid":{"rendered":"https:\/\/metrotransitreview.com\/?p=6606"},"modified":"2026-08-15T11:36:30","modified_gmt":"2026-08-15T11:36:30","slug":"ultra-privileged-phoebe-gates-tried-to-game-the-system-but-ended-up-in-big-trouble-heres-why-she-did-it","status":"publish","type":"post","link":"https:\/\/metrotransitreview.com\/?p=6606","title":{"rendered":"Ultra-privileged Phoebe Gates tried to game the system but ended up in big trouble \u2014\u00a0here\u2019s why she did it"},"content":{"rendered":"
\n

Under fire Phoebe Gates once belonged to a secretive, invitation-only Stanford class called \u201cSo You Think You Can Rule the World?\u201d where students are \u201ctaught\u00a0how to identify vulnerabilities in systems of power,\u201d The Post can reveal.<\/p>\n

Read more Mike Mulgrew\u2019s dirty game \u2014 blaming Mamdani for disastrous reading scores<\/a><\/p>\n

Years before her shopping startup, Phia, was hit by allegations it exploited illegal loopholes, billionaire Bill Gates\u2019 daughter, now 23, was among a hand-picked group of Stanford students in a secret society who study how power works \u2014 and, according to one former student, how to \u201chack\u201d it.<\/p>\n

The unofficial 10-week course, nicknamed \u201cRule,\u201d isn\u2019t publicized, has no enrollment code and accepts just 12 students \u2014 six men and six women \u2014 at a time. They meet weekly to debate money, power and \u201cthe underlying incentive structures and frameworks that govern how the world works,\u201d according to The Stanford Daily.<\/p>\n

Getting in requires a referral from a former student and an intense interview process. Candidates are asked to recommend their most accomplished male and female peers, while founder and instructor Justin Lewis-Weber \u2014 who personally selects the final dozen \u2014 grills applicants about their ambitions and beliefs.<\/p>\n

One former student told the Stanford Daily the goal was to teach students \u201chow to essentially hack any kind of power structure or bureaucratic structure and get what they want in a system of people.\u201d<\/p>\n

Another described Lewis-Weber\u2019s entrepreneurial philosophy as \u201chackier\u201d and \u201cmore opportunistic.\u201d<\/p>\n

\u201cIt\u2019s more about identifying the vulnerabilities or loopholes,\u201d the former student claimed.\u00a0\u201cI think he\u2019s less concerned with the ethics of it all and the problem-solving elements.\u201d<\/p>\n

Both Gates and Lewis-Weber did not respond to The Post\u2019s request for comment.<\/p>\n

There is no evidence the class had anything to do with Phia\u2019s alleged dodgy affiliate practices. But Gates didn\u2019t leave the Rule network behind at Stanford.<\/p>\n

Former Rule students frequently go into business together, and Gates has recruited for Phia through the class, according to a student interviewed by the Stanford Daily \u2014 however, her Stanford pal and Phia co-founder, Sophia Kianni, was not a member of the group.<\/p>\n

The lessons Gates absorbed at Stanford have this week gained an interesting new perspective.<\/p>\n

Phia \u2014 the AI-powered shopping startup Gates and Kianni launched in 2025 \u2014 is embroiled in a scandal over allegations \u00a0its browser extension took credit, and commissions, for online purchases it didn\u2019t actually generate.<\/p>\n

Testing by Bloomberg, affiliate-marketing researcher Ben Edelman and Capital One Shopping found Phia\u2019s browser extension tagged its users with cookies which made it look like the app was referring customers who actually came from elsewhere.<\/p>\n

The practice, commonly called \u201ccookie stuffing, has previously resulted in federal wire-fraud prosecutions.<\/p>\n

However, Gates and Kianni have not been charged with any crime. Legal experts told The Post this week criminal prosecution \u2014 let alone anything approaching wire fraud\u2019s theoretical 20-year maximum sentence \u2014 appears unlikely and civil court claims and repayment demands are a more realistic outcome.<\/p>\n

When asked about the practice, Phia blamed it on a software issue which it had (somewhat handily) said it discovered just 24 hours earlier. However, internal messages reported by Bloomberg showed the founders aware of and discussing the automatic cookie-dropping features months before.<\/p>\n

In a Dec. 18 Slack message, Gates wrote she was \u201cworried this is an issue across the board,\u201d before asking if an automatic cookie drop was operating on all sites.<\/p>\n

Kianni separately wrote: \u201cWhatever we can do to keep these cookies dropping will be amazing thank you.\u201d<\/p>\n

The amounts they were making were substantial. Bloomberg reported that in June it accounted for roughly 51% of the money Phia claimed. After the features were disabled in July, their average daily revenue reportedly plunged from around $80,000 to between $10,000 and $28,000. Phia claimed that drop also reflected its decision to disable other monetization methods.<\/p>\n

The fallout threatens to derail what had been a remarkably fast rise for Gates and Kianni.<\/p>\n

The pair met at Stanford, where Kianni, an Iranian-American, had arrived from a very different background to her tech royalty pal.<\/p>\n

Kianni had founded Climate Cardinals as a teenager to translate climate information into languages other than English and became the youngest US member of the UN Secretary-General\u2019s Youth Advisory Group on Climate Change. She has said she worked to become financially independent from her parents and paid her own Stanford tuition.<\/p>\n

The friends became roommates and planned startup ideas before graduation \u2014 including, notably, a \u201cBluetooth tampon\u201d \u2014 but settled on launching an online tool for shopping comparison which also found discounts and secondhand alternatives.<\/p>\n

The company raised a whopping $43.5 million before launch from heavyweight venture firms and celebrity backers featuring Kris Jenner, Khlo\u00e9 Kardashian, Jessica Alba, Alix Earle, Hailey Bieber and Paris Hilton.<\/p>\n

\u201cKris and Khloe obviously have concerns anytime a company they\u2019ve invested in becomes caught up in allegations like this,\u201d a Post source said.<\/p>\n

\u201cThey made the investment based on their understanding of the company at the time, so naturally they want clarity now about the allegations and whether there is anything that could affect the business or their investment.\u201d<\/p>\n

Gates\u2019 name surely helped, but her billionaire dad didn\u2019t bankroll the company. However, the Microsoft founder wasn\u2019t entirely removed from it, either.<\/p>\n

\u201cMy dad is super supportive,\u201d Phoebe told The Post in an April 2025 interview for Phia\u2019s launch. \u201cHe helps me, you know, thinking about engineering, hiring, things like that.\u201d<\/p>\n

Read more DeSantis\u2019 replacement, DSA push, ethics scandals and redistricting shakeout: What to watch in Florida\u2019s primary election<\/a><\/p>\n

However, even before Phia\u2019s cookie scandal blew up, some in the venture-capital world had been irked by what the app\u2019s \u201cover-the-top\u201d hyping its celebrity investors, whihc some felt took its embrace of influencer culture to another level.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0<\/p>\n

For instance, to spread the word of its $35.5 funding round, Phia posted a glowing nine slide presentation highlighting its celebrity investors who joined, including Sydney Sweeney, but there was no mention of Phia\u2019s institutional investors \u2013 Notable Capital, Khosla Ventures and Kleiner Perkins \u2013 which typically commit the lionshare of capital in celebrity-heavy funding rounds.<\/p>\n

Some investors took the omission as Phia \u201cthumbing their nose\u201d at traditional Silicon Valley financiers.\u00a0<\/p>\n

\u201cThey have this weird almost movie theater-esque thing about them,\u201d said one tech investor who was aware of Phia\u2019s fundraising efforts but never wrote them a check. \u201cEvery time I see someone do that, usually there\u2019s trouble,\u201d adding that his firm \u201cdodged a bullet.\u201d\u00a0<\/p>\n

Within tech circles, the scandal has generated a significant amount of animosity toward Phia, the source added, questioning whether Phia duped its own investors while raising its most recent funding by showing them phony metrics.\u00a0\u00a0<\/p>\n

\u201cI\u2019m really amazed by the passionate growl this is getting,\u201d the insider said.<\/p>\n

Gates and Kianni were always eager to present themselves as hands-on founders immersed in building the product, adding they had been coding until around 2 a.m. the night before.<\/p>\n

\u201cWe\u2019re all staying up super late. We\u2019re ordering a pizza. We\u2019re working together,\u201d Gates told The Post of startup life.<\/p>\n

They also decided to turn their entrepreneurial journey into content too.<\/p>\n

In April 2025, Gates and Kianni launched podcast \u201cThe Burnouts\u201d under \u201cCall Her Daddy\u201d star Alex Cooper\u2019s Unwell Network, promising listeners a peek inside the \u201cchaotic lives\u201d of the startup founders.<\/p>\n

However, it didn\u2019t set the podcasting world alight and their deal with Unwell ended after roughly a year, for reasons which have never been disclosed. However, the podcast has continued independently.<\/p>\n

Being born into one of the richest and most recognizable families in the US meant Gates enjoyed privilege, but also had a lot to live up to.<\/p>\n

Born in 2002, she grew up alongside older siblings Jennifer, 30, and Rory, 27, in the family\u2019s sprawling lakefront estate in Medina, Wash.<\/p>\n

She graduated Stanford in 2024 with a degree in human biology. Her mother, Melinda French Gates, delivered the commencement address.<\/p>\n

Her parents had insisted she finish college \u2014 despite her father famously dropping out of Harvard.<\/p>\n

Gates, who is also trained in ballet, has at least been candid about her huge head start in life.<\/p>\n

In a 2022 interview she said: \u201cOK, I\u2019m my parents\u2019 daughter, that gives me immense privilege, but it\u2019s not what I\u2019m defined by. I want to have my own identity.\u201d<\/p>\n

While building Phia with Kianni, Gates also insisted she wanted its success to have \u201cno ties to my privilege or my last name.\u201d<\/p>\n

She\u2019s already managed to make a stir for herself in celebrity circles, dating Paul McCartney\u2019s grandson Arthur Donald for roughly two years before the pair split in 2025.<\/p>\n

The heiress then revealed in December she was dating Chez Flynn, who she earlier mysteriously described as a new man who \u201cliterally doesn\u2019t have Instagram\u201d.<\/p>\n

\u201cLike, he deletes it, and it\u2019s amazing,\u201d she said on a Sept. 4, episode of \u201cThe Burnouts,\u201d before identifying him as her high school sweetheart, who she\u2019s known for 15 years.<\/p>\n

The Phia scandal, however, has opened Gates up to exactly the criticism she\u2019s been careful to avoid \u2014 a well-connected \u201cnepo baby\u201d catapulted into Silicon Valley\u2019s fast lane then accused of taking shortcuts to success.<\/p>\n

\n<\/div>\n

\u201cI can\u2019t say I am surprised\u2026 I don\u2019t know a single person who actually used the app,\u201d a fashion and media source sniffed to The Post.<\/p>\n

\u201cThe product didn\u2019t work or make much sense\u2026 You don\u2019t need an app to online shop. If she didn\u2019t have her last name she never would have been able to raise that kind of money from those kinds of people. And she was also distracted and wanted to be an influencer-podcaster\u2026\u201d<\/p>\n

However, another fashion insider said it was simply a reminder Gates\u2019 privilege comes with intense scrutiny and ensures anytime she stumbles the world will be watching.<\/p>\n

\u201cThere were a lot of envious women eager to tear her down \u2014 she had a target on her back,\u201d the source told The Post.<\/p>\n

\u201cThe decision to launch the investigation and follow such a small company so closely wouldn\u2019t have happened to anyone else. The practice of cookie stuffing is not uncommon; My sense is a lot of online shopping companies do that as they are starting out and get away with it. She was trying to build something\u2026 I feel for her.\u201d<\/p>\n

Read more Baby Gabriel, saved from abortion, deserves the chance to fight for his life<\/a><\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

Phoebe Gates belonged to a secretive, invitation-only Stanford class where students were taught to identify vulnerabilities in systems of power – years before Phia, a company she co-founded, was accused of exploiting loopholes in the online affiliate system.<\/p>\n","protected":false},"author":1,"featured_media":6605,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[82],"tags":[],"class_list":["post-6606","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-tech"],"yoast_head":"\nUltra-privileged Phoebe Gates tried to game the system but ended up in big trouble \u2014\u00a0here\u2019s why she did it - Metro Transit Review<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/metrotransitreview.com\/?p=6606\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Ultra-privileged Phoebe Gates tried to game the system but ended up in big trouble \u2014\u00a0here\u2019s why she did it - 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