He was born in Plymouth but later moved to Mission Viejo, California at the age of five. Farrell was taught how to play guitar by his mother when he was in high school. He also played the violin in high school. Farrell attended UCLA, where he was roommates with future bandmate Brad Delson. Farrell graduated from UCLA with a degree in philosophy.
While attending high school, Farrell joined a Christian ska punk band named Tasty Snax, who would later rename themselves to The Snax. Phoenix transitioned from the electric guitar to bass to accommodate The Snax. The band included Farrell's longtime college friend Mark Fiore, who was also associated in making of various video albums for Linkin Park. The band recorded two studio albums and one compilation album, signed to Screaming Giant Records. Farrell left the band in 2000.
Farrell joined Xero, the earliest incarnation of Linkin Park, after meeting Brad Delson at UCLA. He contributed to the band's self-titled demo tape in 1997, but left the project to tour with Tasty Snax. Farrell's void was temporally filled by Delson, Ian Hornbeck and Scott Koziol, who all contributed to Hybrid Theory, Linkin Park's debut album. Farrell returned to Linkin Park in 2000 after a year-long absence.
He served as the band's bassist for six of the band's seven studio albums. Along with Brad Delson and Rob Bourdon, Farrell also helped manage the band's business operations.

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