Kenyan court clears producers’ Skiza Tune royalties case against Safaricom

The decision marks a significant step in ongoing disputes within Kenya’s music industry concerning transparency and accountability in royalty collection and distribution.

The producers argue that they are owed millions of shillings for the use of their music as Skiza Tunes, a service that allows Safaricom subscribers to replace the standard ring-back tone with a song. Each time a caller hears the tune, revenue is generated, which is meant to be distributed to rights holders, including producers, artists and composers.

Safaricom and other defendants had sought to have the case dismissed at a preliminary stage, contending that the claims lacked sufficient legal basis. The court rejected that application, clearing the way for a full hearing in which evidence and financial records will be examined.

The ruling does not award any compensation at this stage. Instead, it permits the producers to present their case in full, meaning Safaricom and other parties may now face closer judicial scrutiny of their accounting and royalty distribution practices related to Skiza Tune revenues.

Disputes over Skiza Tune payments have been a recurring issue in Kenya’s music sector, with artists and producers frequently raising concerns about delayed payments and a lack of clarity in reporting. Royalties have traditionally been collected and distributed through Collective Management Organisations (CMOs) such as the Music Copyright Society of Kenya (MCSK) and the Kenya Association of Music Producers (KAMP).

In recent years, these organisations have themselves come under increased legal and regulatory scrutiny. Earlier this year, the High Court issued rulings affecting several CMOs, including orders requiring some to suspend royalty collection due to licensing concerns. The Kenya Copyright Board (KECOBO) has also introduced stricter licensing conditions, including requirements for digital systems to improve efficiency and transparency in royalty management.

The producers’ lawsuit is expected to move into a detailed examination phase, involving audits and reviews of Skiza Tune revenue flows, contractual obligations and payment records. Observers say the case could provide clearer insight into how digital music revenues are handled in Kenya.

Safaricom has not issued a public statement on the latest ruling. In previous engagements, the company has maintained that it operates in line with licensing agreements and revenue-sharing arrangements.

Legal analysts note that the outcome of the case could have broader implications for the management of digital music royalties in Kenya, potentially influencing reforms in how revenue from services such as caller ring-back tones and streaming platforms is tracked and distributed.