Makate is suing Vodacom for a share of the revenue generated by "Please Call Me" free text messages‚ widely used by people who have run out of airtime. Because they generate callbacks from the recipients‚ "Please Call Me" messages are a significant money-spinner for cellular networks.
Though the quantam of Makate's claim is still to be argued‚ his financial backers are reported to have said that‚ on their analysis‚ Vodacom could have benefited by R45bn from the concept.
Judge Phillip Coppin heard closing argument from Vodacom's counsel‚ Fanie Cilliers SC‚ who said that the company had not authorised any payment to Makate. He also rejected Makate's claim of "ostensible authority" - that Vodacom was nonetheless liable because its former director of product development‚ Philip Geissler‚ had made it seem like the company had authorised a contract.
Cilliers said the evidence showed the opposite and that Makate's legal team had based their claim on an inadequate snippet of one line of evidence.
Instead‚ former chief executive Alan Knott-Craig made it very clear that the board knew nothing about it and revenue-sharing contracts like the one described by Makate were unheard of at Vodacom.
Cilliers also said Makate's "business idea" - to target prepaid customers without airtime to get them to initiate possible callbacks - was a "far cry" from the product that was eventually launched.
"PCM (Please Call Me) was a product developed by technical and commercial expertise of many people over a period of months and at a cost of between R1.5m and R6m‚" Cilliers said in heads of argument.
But Makate's counsel‚ Cedric Puckrin SC‚ referred to an e-mail sent by Geissler to Vodacom employees worldwide telling them of the launch of a new product‚ saying Makate "from our finance department came up with this idea a few months ago".
"We wish to thank Kenneth (Makate) for bringing his idea to our attention‚" said the e-mail.
Puckrin also referred to a Vodacom publication‚ Talk Time‚ which quoted the managing director at the time Andrew Mthembu saying he was impressed by the fact that the idea came from Makate.
He said in his heads of argument that there was "not one jot or tittle" of evidence showing that many people laboured on the technical solution for the product.
"The R1.5m to R6m should be seen in the light of the fact that by 2008 Vodacom generated R20m in "Please Call Me" requests daily‚" said Puckrin.
He said Geissler's announcement had confirmed his aura of authority and that Makate could not be blamed for relying fully on the aura of authority that engulfed Geissler.
Puckrin also referred to an e-mail from Geissler where he had given his word that he would "speak to Alan" about "reward".
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