Vodacom

On May 17, 2009, a court dismissed a joint Congress of South African Trade Unions (COSATU) and ICASA application to stop Vodacom's JSE listing. Chegoane Mabelane, the South African article writer and prominent supporter of both African National Congress (ANC) and its alliance; in one of his articles stated that the interdict to stop the listing was fair.[11]

In January 2010, the Sunday Times alleged that Alan Knott-Craig (Senior), former Vodacom CEO, helped his son, Alan Knott-Craig with business ventures using Vodacom's resources. He also allegedly awarded a multimillion-rand contract to a marketing and advertising company run by his family members.[12][13][14]

In 2008, former employee Nkosana Makate took Vodacom to court, claiming that the profitable "Please Call Me" message service was originally his invention and demanding compensation. Eight years later, Makate eventually won his case in the Constitutional Court. Makate then entered negotiations with Vodacom for a 15% cut of the R70 billion ($4.84 billion) he claims "Please Call Me" has earned for Vodacom since its inception.

A 2014 judgement in the South Gauteng High Court supported Makate's claim to having originated "Please Call Me." The court heard that, in November 2000, Makate had shared his idea (initially termed the "buzz" idea) with Philip Geissler, then board member and director of product development and management at Vodacom. Geissler had agreed to give Makate a cut should the "Please Call Me" innovation prove a success (however, there was no such agreement, written, oral, or implied – and no evidence to support it). Makate's witnesses presented emails sent by Geissler (Geissler was never called to testify by either party, raising suspicion that both parties would not have benefited from what Geissler would say under oath) and an article in Vodacom's "Talk Time" internal newsletter (such newsletter was written, edited, and printed by a third party in Cape Town) which acknowledged and praised Makate for his idea and his contribution to the product.[15]

The court also rejected former CEO Alan Knott-Craig's claim that he had come up with the idea. Knott-Craig had published the claim in his autobiography, and later repeated in court, that he had the idea while watching two security guards trying to communicate on phones without airtime.[16] Yet the High Court found against Makate's claim for compensation, holding Vodacom's argument that Geissler had not had the authority to promise Makate such compensation and that the debt would have expired (in legal terms, been prescribed) within three years.[15]

Makate took the case on appeal, and then took it to the Constitutional Court. In April 2016, Justice Chris Jafta found in Makate's favour and against Vodacom, overturning both judgements by the High Court, finding that Geissler had the authority to promise compensation, and that Makate's case was not based on an unpaid debt. In Jafta's words: “In not compensating the applicant [Makate] [….] Vodacom associated itself with the dishonourable conduct of its former CEO, Mr Knott-Craig and his colleague, Mr Geissler, and this leaves a sour taste in the mouth. It is not the kind of conduct to be expected from an ethical corporate entity.”[17]

In an open letter to Makate on Facebook, civic society non-profit Right2Know congratulated Makate. Right2Know used the letter to draw attention to the hypocrisy of multinational corporations which claim to support young black South African innovators such as Makate, but whose anti-competitive practices often strangle meaningful innovation. The letter also drew attention to the fact that South Africa's telecommunications duopoly (Vodacom–MTN) had led to the kind of unaffordable tariffs which made the "Please Call Me" service so successful with impoverished consumers in the first place.[18]

In October 2013, Vodacom announced it would be acquiring Neotel in a potential US$590 million deal.[19] Even though regulatory approval by the Independent Communications Authority of South Africa (ICASA) was obtained in 2015, the deal ultimately collapsed in March 2016 after competitors successfully challenged the transfer of Neotel's licenses and spectrum to Vodacom in court.[20][21]