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Vodacom reaches landmark settlement with 'Please Call Me' inventor
2 hrs ago |
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South African telecoms firm Vodacom and Kenneth Nkosana Makate have reached an out-of-court settlement, ending nearly two decades of legal wrangling over the hugely popular "Please Call Me" service.
The agreement, concluded on November 4, 2025, brings to a close one of South Africa's longest-running intellectual property battles - a dispute that began in 2001 when Makate first proposed the idea to Vodacom while working at the company.
Vodacom confirmed the resolution in a statement, saying:
"The matter has been settled by the parties. Both parties are glad that finality has been reached in this regard."
While the terms of the settlement remain confidential, Vodacom said the deal had already been factored into its interim financial results for the six months ended September 30, 2025.
The breakthrough comes after years of litigation that saw the case move through almost every level of South Africa's judiciary.
In 2016, the Constitutional Court ruled that Makate was entitled to negotiate reasonable compensation for his idea and ordered Vodacom's CEO, Shameel Joosub, to determine the amount if talks failed. Joosub later offered R47 million, which Makate rejected, insisting the offer grossly undervalued his contribution.
Makate argued that Vodacom should pay him as if he had an 18-year contract, while the company maintained that any agreement would have been limited to five years.
In February 2024, the Supreme Court of Appeal sided with Makate, finding that he was entitled to between 5 percent and 7.5 percent of the revenue generated from the Please Call Me service over 18 years - a sum potentially worth billions of rand.
Vodacom sought leave to appeal, but this week's announcement confirms the telecommunications giant has dropped that effort following the board's approval of a final settlement.
The case, which began as a simple plea for fair recognition, became a symbol of perseverance and corporate accountability in South Africa's post-apartheid business landscape.
The agreement, concluded on November 4, 2025, brings to a close one of South Africa's longest-running intellectual property battles - a dispute that began in 2001 when Makate first proposed the idea to Vodacom while working at the company.
Vodacom confirmed the resolution in a statement, saying:
"The matter has been settled by the parties. Both parties are glad that finality has been reached in this regard."
While the terms of the settlement remain confidential, Vodacom said the deal had already been factored into its interim financial results for the six months ended September 30, 2025.
In 2016, the Constitutional Court ruled that Makate was entitled to negotiate reasonable compensation for his idea and ordered Vodacom's CEO, Shameel Joosub, to determine the amount if talks failed. Joosub later offered R47 million, which Makate rejected, insisting the offer grossly undervalued his contribution.
Makate argued that Vodacom should pay him as if he had an 18-year contract, while the company maintained that any agreement would have been limited to five years.
In February 2024, the Supreme Court of Appeal sided with Makate, finding that he was entitled to between 5 percent and 7.5 percent of the revenue generated from the Please Call Me service over 18 years - a sum potentially worth billions of rand.
Vodacom sought leave to appeal, but this week's announcement confirms the telecommunications giant has dropped that effort following the board's approval of a final settlement.
The case, which began as a simple plea for fair recognition, became a symbol of perseverance and corporate accountability in South Africa's post-apartheid business landscape.
Source - ZimLive
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