Phoebe Gates, the 23-year-old entrepreneur and daughter of Microsoft billionaire Bill Gates and his ex-wife Melinda, has found herself embroiled in controversy following allegations that she attempted to pay a content creator less than $250 for a collaboration. The incident has ignited a fierce debate on social media about fair compensation, privilege, and business ethics.
Startup Founder Under Fire
Phoebe Gates launched her e-commerce startup app, Phia, last year in partnership with her former Stanford roommate Sophia Kianni. The platform is designed to help shoppers compare prices for new and used items across more than 40,000 selling sites, positioning itself as a handy tool for budget-conscious consumers.
Influencer Claims Low-Ball Offer
Over the weekend, influencer Kacie Margis took to the social media platform Threads to share a screenshot of a direct message she claims was sent by Phoebe Gates in April 2025. In the message, Phoebe expressed admiration for Margis's content and extended an invitation to collaborate on promoting Phia's launch.
The message read in part: 'Hey love! I came across your profile on Collabstr and I'm such a fan of your content. I'm the founder of @phiaco – we're launching at the end of this month (!!) and I'd be sooo honored if you'd be down to collab and help share.'
Phoebe added: 'We're still a scrappy startup so budget's super limited, but we'd still….' before encouraging Margis to 'send your rates.' While the rest of the message was redacted, Margis alleges that Phoebe attempted to negotiate her down to less than her publicly listed rates, which she claims were under $250.
Social Media Backlash
Margis commented on the screenshot, writing: 'When a billionaire's daughter says the budget is "super limited" and it's a "scrappy little startup" to try to pay me less than what my posted rates are.' She explained that her rates were publicly available on Collabstr, a platform where brands can book creators, but instead of booking her there, Phoebe sent a private message attempting to lower the price.
The revelation sparked outrage among social media users, with many criticising Phoebe's approach. One user remarked: 'Jeez, I didn’t think they could get any more out of touch with reality…' Another added: 'That kind of overly casual mannerism from a stranger while they're asking for a favor always gives me the ick.' A third commented: 'Gag! Rich people can be so cheap sometimes don't fall for it. Find people that respect what you have to offer.'
Defenders and Context
However, not all responses were negative. Some defended Phoebe, pointing out that she simply asked for rates and that declining an offer is a normal part of business. One user noted: 'She literally asked your rates. If it doesn't fit it doesn't fit. She dodged a bullet. Working with such levels of unprofessionalism.'
Despite her father's immense wealth, Phoebe raised the capital for Phia independently. She secured $100,000 from Soma Capital, followed by $250,000 from a Stanford social entrepreneurship grant, and an additional $500,000 in angel investments, bringing the total funding to $850,000.
Phoebe is the third child of Bill and Melinda Gates, who divorced in 2021 after 27 years of marriage. In a previous interview with the New York Times, Bill Gates expressed relief that Phoebe did not ask for financial help for her startup, as he had cut her inheritance. He said: 'I thought, "Oh boy, she's going to come and ask," and then I would have kept her on a short leash and be doing business reviews, which I would have found tricky.'
The Daily Mail has reached out to Phoebe Gates for comment on the allegations, but no response has been received at this time. The incident highlights ongoing tensions in the influencer marketing industry and raises questions about fairness and transparency in business dealings.
