MBABANE — Nearly two decades after a long-running legal battle over the “Please Call Me” service, Vodacom has reportedly settled with inventor Nkosana Makate, paying around R550 million.
The mobile operator confirmed on Thursday that the dispute, which stretched across multiple courts including the Constitutional Court, had been resolved out of court. Vodacom said its board approved the settlement agreement, though the company declined to comment on the exact amount.
The Pretoria High Court had ruled in February 2022 that Makate was entitled to 5 percent of revenue generated from his invention between March 2001 and March 2021. Judge Wendy Hughes directed Vodacom’s CEO to recalculate Makate’s share, leading to the reported settlement.
Financial analysts note that the settlement impacts Vodacom’s earnings for the six months through September, reducing the projected rise in profit from 40 to 45 percent to a more modest 30 to 40 percent. Bloomberg Intelligence highlighted that the payout, while substantial, is far below earlier court rulings that could have cost the company tens of billions of rand.
The case has also sparked debate over the true origin of “Please Call Me.” Reports suggest that South African entrepreneur Ari Kahn conceptualised a similar USSD-based “Call Me” service a week before Makate, obtaining a patent through MTN in January 2001. Q
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